Chapter VII - Education Investment and Safeguards of Conditions

Article 53 The state shall establish a mechanism based mainly on financial allocation and supplemented with various approaches to raising educational funds, gradually enlarge investment in education and ensure stable sources of educational funds for state run schools. Schools and other educational institutions established under the sponsorship of enterprises, institutions, social associations, other social organizations and individuals according to law shall have the school funds raised by the sponsors. The People's governments at different levels may render proper support.

Article 54 The proportion of the state educational investment by way of financial allocation to the volume of general national products shall gradually increase along with the growth of national economy and financial income. The executive steps for the proportion increase shall be determined by the State Council. The proportion of educational appropriations to the total volume of financial expenditures at different levels of the whole state shall increase step by step with the growth of the national economy.

Article 55 Educational appropriations of the People's governments at different levels shall be listed as a separate item of the financial budget according to the principle of consistency of business power and financial power. The increase of financial allocation to education by the People's government at different levels shall be higher than the growth of frequent income of the finance. The People's government shall make the average per capita education appropriation for all students in the school increase progressively and ensure that the teacher’s salary and the per capita public fund for students grow gradually.

Article 56 The State Council and the local People's government at different levels shall establish specific fund for education and lay special stress on supporting compulsory education in remote border areas and poverty-stricken areas and minority nationality regions.

Article 57 Taxation agencies shall fully collect the added education fee, which shall be controlled by the educational administrations and used mainly in enforcement of compulsory education. The People's government of province, autonomous region and municipality directly under the central government may decide on the levy of added local education fee for specific use of education. The collection of the added education fee in the countryside within the overall finance of townships shall be organized by the People's government of the township. The fee shall be managed on behalf of the township People's government by the education administrative department of the People's government at the county level or by the People's government of the township itself and shall be used for the educational undertakings at the two levels of township and village within the jurisdiction of the township. The accurate proportion of the levy of added education fee in the countryside to the overall finance of the township and the concrete management thereof shall be regulated by the People's government of province, autonomous region and municipality directly under the central government.

Article 58 The state shall adopt preferential measures to encourage and support schools to develop work-and-study programme, conduct social services and establish campus workshops on the precondition that the normal education and teaching/learning activities are not affected.

Article 59 Subject to the approval of the People's government at the county level the People's government at the level of township or minority nationality township may in light of the principle of voluntary and capacity consideration collect funds to run school within its own jurisdiction, using the funds so collected in reconstruction or repair of dangerous houses in the purpose of enforcement of compulsory education or construct new school houses. The funds may not be used for any other purpose.

Article 60 The state shall encourage social organizations and individuals to donate money for schools.

Article 61 The financial allocation of education funds of the state and donations of social organizations or individuals shall be used in education only and may not be diverted for other purposes or deducted.

Article 62 The state shall encourage the use of banking and credit measures to support the development of educational undertakings.

Article 63 The People's government at different levels and education administrative department shall strengthen supervision and management of educational capitals of schools and other educational institutions and raise the education investment efficiency.

Article 64 The local People's government at different levels and relevant administrative departments thereof shall include the capital construction of schools in the construction planning of the cities and townships, take into consideration the use of land for capital construction of schools and necessary goods and materials and make arrangements accordingly, and shall carry out priority or preferential policies according to related state regulations.

Article 65 The People's government at different levels shall carry out priority or preferential policies according to corresponding state regulations in respect to the publication and distribution of textbooks and other books or materials for the purpose of teaching and learning, to the production and supply of instruments and equipment for teaching and learning, and to the import of books, materials, instruments and equipment for the purpose of school education or of teaching and learning.

Article 66 The People's government at and above the county level shall develop education through satellite television and other modern advanced approaches to teaching and learning, which shall enjoy preferential arrangement and sustaining support of administrative departments. The state shall encourage extended application of modern teaching and learning methods.