China’s Central Commission for Discipline Inspection (CCDI) Office publicly disclosed three cases involving serious misconduct by local officials in pursuit of political performance, highlighting fiscal data falsification, hidden local government debt, and the misuse of central government funds.
According to the CCDI, the city of Nanning in the Guangxi Zhuang Autonomous Region artificially inflated fiscal revenue by RMB 2.83 billion (US$395 million) within a single year through circular financing arrangements and repeated land transactions. In one case, the same parcel of land was reportedly transferred 18 times to inflate government revenue. The report also cited Xiaoshan District in Hangzhou, Zhejiang Province, for concealing local government debt through financing vehicles while falsely reporting that all hidden debt had been eliminated and related risks fully resolved. In Jiuquan, Gansu Province, authorities were accused of diverting ultra-long-term special treasury bond funds intended for public welfare projects to urban landscaping and city beautification initiatives.
The cases suggest that some local governments continue to rely on accounting maneuvers, off-budget financing, and fiscal data falsification to meet economic and political performance targets amid a challenging economic environment.
Source: Net Ease, June 29, 2026
https://www.163.com/dy/article/L0HTE9IR0512E5AP.html