Lawmakers aim to better combat data fraud

Lawmakers are clamping down on data fraud.

On April 26, the legislature (NPCSC) concluded deliberations on draft amendments to the Statistics Law.

ICYDK: Adopted in 1983, the Statistics Law was revised in 1996 and again in 2009.

The amendments:

• Clarify that local officials cannot order or coerce subordinate bodies or institutions to falsify data
• Emphasize that local leaders will be held responsible for statistical fraud conducted in their jurisdiction
• Increase the maximum fine for data fraud to RMB 500,000

Some context: In recent years, Xi Jinping has initiated multiple campaigns and introduced new regulations to crack down on data fraud.

• The NPCSC's draft revisions codify recently introduced regulations into law.

Get smart: By laying the legal groundwork, the NPCSC is empowering regulators to clamp down on data fraud.

• This will help improve data accuracy, allowing economic policymakers to craft more effective policies.

Get smarter: Despite tightened scrutiny in recent years, many officials report false data to advance their career.

• The NPCSC's draft revisions will not significantly change this calculus, meaning that data fraud will remain an issue.

What happens next: The draft revisions will go through at least one more deliberation before being passed into law.

• We expect this to happen either late-2024 or early next year.