Finance Minister Xie Xuren said on Thursday that the government will bring in tighter controls on local government debt with the introduction of a new account management system, which will strictly monitor budgets and prohibit any irregular financing or irresponsible spending.

In an article posted on the ministry's website, Xie said government revenues were facing three key challenges in 2013: a tough global economic climate; shrinking profits of enterprises; and further structural tax reform.

As a result, he expected fiscal income growth to be "at a slower pace" during the year.