BEIJING - The following is the full text of the Report on the Implementation of the Central and Local Budgets for 2010 and on the Draft Central and Local Budgets for 2011, which was submitted for review on March 5, 2011 at the Fourth Session of the Eleventh National People's Congress and was adopted on March 14:

REPORT ON THE IMPLEMENTATION OF THE CENTRAL AND LOCAL BUDGETS FOR 2010 AND ON THE DRAFT CENTRAL AND LOCAL BUDGETS FOR 2011

Fourth Session of the Eleventh National People's Congress

March 5, 2011

Ministry of Finance

Content

I. Implementation of the Central and Local Budgets for 2010

1. Implementation of budgets for public finances

2. Implementation of budgets for government-managed funds

3. Implementation of the budget for the central government's state capital operations

4. Implementation of a proactive fiscal policy

5. Progress in fiscal and taxation reforms 6. Implementation of the NPC budget resolution

II. Draft Central and Local Budgets for 2011

1. Our country's present fiscal situation

2. General requirements for compiling budgets and public finance work

3. Public finance budgets for 2011

4. Budget for central government-managed funds 5. Budget for central government's state capital operations

III. Managing Public Finance in Accordance with the Law and Tightening Management to Successfully Implement the 2011 Budgets

1. Strengthening and improving macro-control through management of public finance and promoting sound and rapid economic and social development

2. Accelerating reform of the fiscal and taxation systems and vigorously establishing fiscal and taxation systems and mechanisms conducive to transforming the pattern of economic development

3. Making the management of public finance more scientific and meticulous and striving to utilize government funds more effectively

4. Being hardworking and frugal, and striving to increase revenue and reduce expenditures