💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

China to increase scrutiny of statistical data to curb fraud

Published 03/18/2022, 01:34 AM
Updated 03/18/2022, 02:07 AM
© Reuters. FILE PHOTO: Copies of a booklet from the Central Commission for Discipline Inspection, the ruling Communist Party's anti-graft watchdog, is seen on a table during their news conference in Beijing, China, January 15, 2016. REUTERS/Kim Kyung-Hoon

BEIJING (Reuters) - China will step up scrutiny of the country's statistics agency and tackle the "outstanding problems" of data fraud and falsification, the Communist Party's anti-corruption inspection unit said on Friday.

While the National Bureau of Statistics (NBS) has "resolutely probed" and dealt with cases violating statistical discipline and laws in recent years, "the problem of statistical data fraud is still relatively prominent," said a statement from the Central Commission for Discipline Inspection (CCDI).

The NBS publishes China's closely watched gross domestic product (GDP) numbers, among other key data.

China has set an annual economic growth target of around 5.5% this year but economists have questioned if the country is able to achieve it amid intensifying geopolitical challenges, global commodity price inflation and a zero-COVID policy that clogs supply chains.

A few regions created the "illusion of economic development" by falsifying data and some local authorities issued secret instructions to intervene in manipulating data.

Data fraud is being found in more areas including R&D funding ratios, energy intensity and carbon intensity that typically reflects the quality of economic and social development, the anti-graft watchdog said.

Energy intensity and carbon intensity indicate the amount of energy consumed and carbon emitted per unit of GDP, and are used to gauge the progress of a country's campaign to tackle climate change.

Inspectors from the CCDI added that some local officials prioritise economic growth and ignore other areas of economic development, or seek to show off their personal achievements through statistics.

© Reuters. FILE PHOTO: Copies of a booklet from the Central Commission for Discipline Inspection, the ruling Communist Party's anti-graft watchdog, is seen on a table during their news conference in Beijing, China, January 15, 2016. REUTERS/Kim Kyung-Hoon

The CCDI will carry out random inspections on data quality on a regular basis and supervise the establishment of an accountability system among local authorities to prevent and punish statistical fraud.

"We will relentlessly break the evil trends (of forging data)," it said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.