Water conservancy construction fund is a special fund for water conservancy construction, which consists of central water conservancy construction fund and local water conservancy construction fund. The central water conservancy construction fund is mainly used for the maintenance and construction of key river projects related to the overall situation of national economic and social development. Local water conservancy construction funds are mainly used for urban flood control and the management, maintenance and construction of small rivers and lakes. The management expenses of major water conservancy construction projects across river basins and provinces (autonomous regions and municipalities directly under the Central Government) and key protection projects of transnational rivers and border rivers in China shall be borne by the central and local governments.

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