ABSTRACT
Performance budgeting (PB), a form of budgeting that integrates performance information into the budgetary decision-making process, has been advocated by budget experts and international organizations as an important, value-enhancing reform. This chapter presents a brief reform history of Guangdong. It examines the dynamics and impacts of different leadership and organizational factors influencing the evolving development of the reform. Outside the US and other developed economies, many developing countries have also tried to implement PB reform. In 2003, Guangdong Province, China, became the first province in the People's Republic of China to launch performance budgeting reform. The primary users of performance information have been the legislature, the governor, the budget office, and the public. The purpose of the Guangdong PB reform is to strengthen the executive control over spending growth, waste, and corruption and infuse performance-oriented thinking in agency planning, resource allocation, and program management.
