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What is matching funds?
Supporting funds are a kind of funds that have emerged under the new financial management system and are allocated a certain proportion of funds by relevant units or departments in order to obtain investment funds from superiors or external parties.
In layman’s terms, the superior finance or department allocates some funds, the finance or department at the same level provides some funds, and the project unit raises some funds itself. Judging from the current implementation of matching funds, there are still some problems that need to be studied and solved.
Extended information:
Situation of supporting funds
1. Wide scope
At present, in various economic construction projects at all levels, Matching funds are widely used, such as rural reform, comprehensive agricultural development, rural road construction, rural cooperative medical care, agricultural machinery purchase subsidies, comprehensive township reform, and resettlement.
Poverty alleviation loans, forestry loans, water conservancy, mineral mining, urban planning, urban infrastructure, national housing projects, subsistence allowances, fire equipment construction, science and technology projects, scientific and technological innovation, key scientific research, compulsory education projects, and more There are foreign investment projects and so on. There are so many projects with matching funds and their scope is wide.
2. Inadequate implementation
From the audit situation over the years, the overall concept of the implementation results of supporting funds is: provincial level excess, self-financing is active, the city owes the county level, and the county owes serious.
3. Fraudulent practices
The financial department adopts the method of first allocating money and then deducting it.
The project unit adopts the method of transferring in first and then withdrawing.
The project unit uses false expenditures as self-raised funds.
The project unit treats expenditures that do not belong to the project as funds advanced for the project and report them as self-raised funds.
If the funds from the finance and competent departments are not in place, the project unit adopts the method of listing accounts receivable.
The project unit resorted to false reporting of financial statements. There are many ways to falsely report matching funds.
People's Daily Online - China Securities Regulatory Commission: It is necessary to clarify the purpose of raising supporting funds
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