Approval for China Outsourcing Services Decentralized to Provincial Gov’t

Posted by Reading Time: < 1 minute

Nov. 3 – The Chinese government is continuing its recent trend of devolving the power of approval to local governments by handing over the approval for outsourcing services to provincial governments.

The Ministry of Commerce issues a new business circular on September 15 that  addresses the particular delegation of approval to provincial governments, and also addresses the general decentralization of administrative processes. According to the circular, the provincial governments will have approval authority effective from July 4, 2010.

This move is part of a larger campaign by the government to standardize and reduce unnecessary administrative processes by delegating various tasks previously restricted to the authority of the central government. By continuing with the decentralization of specific processes, the central government also hopes to lend accountability and transparency to bureaucratic operations.