Cutting expenses is just the first step

A recent decision by Beijing municipal government to reduce this year's budget for business trips by 10 percent and for official receptions by 20 percent, comes as a pleasant surprise for the public but more examples of thrift are needed, says an article in People's Daily (excerpts below).

In the current economic situation, with local finances under increasing pressure, governments at all levels must be thrifty. Beijing cutting back on its budgets for trips is a good example.

However, more is needed. In the long term, an effective system needs to be established to guarantee a sustainable life of thrift and this requires a push for all-round reform.

By reforming budgets, and strengthening their enforcement, local government expenditure will be more reasonable and open and will further enhance the image of local government and its credibility.