Over the past decade, improving governance has increasingly become a central concern of public sector reform across the globe. China is no exception. In developing countries aid agencies have come to see governance reform as a prerequisite for the effective implementation of poverty programs. At the same time, considerable conceptual confusion initially obstructed coordinated action among the principal stakeholders. Progressively, research has helped strengthen both the analytical framework and the empirical underpinning for policy design. Over time, too, the discussion of ways to improve the quality of public services and make public agencies more accountable and transparent has become more candid and pragmatic. Reformers have come increasingly to stress the importance of establishing the rule of law and strengthening public financial accountability as fundamental preconditions for faster and more equitable development. The need for a more professional, better-trained and more motivated civil service is also recognized, though progress on this matter has been slow. However, the dramatic evolution of information technology has opened up a tremendous new potential for increasing public accountability. For the future, a more coordinated and structured approach to reform may result in better outcomes.