A clerk counts cash at a bank in Natong, Jiangsu province. [Photo/Sipa]
China plans to pump another 53 billion yuan ($7.5 billion) into a relief package targeting vulnerable groups as the novel coronavirus outbreak has led to a rise in commodity prices and unemployment, said the Ministry of Finance.
The latest input brings funds earmarked so far this year for childless seniors, orphans, the disabled and other vulnerable groups to 156 billion yuan, surpassing last year's total of 147.2 billion yuan, according to Wang Xinxiang, deputy head of the ministry's social security division.
The money will be distributed in the form of State benefits in an attempt to cover basic living expenses, Wang said at a daily news conference in Beijing on Friday.
"The allowances are lifesaving funds for the disadvantaged and every cent shall be managed and spent well," he said, adding that local authorities would be urged to disclose how the funds are spent as part of an effort to boost public oversight.
The moves come as the coronavirus pandemic has disrupted logistics chains, leading to a significant increase in food prices and daily necessities in some areas.
The National Bureau of Statistics said on Friday that China's consumer price index, a main gauge of inflation, recorded a 4.3 percent year-on-year rise in March, down from 5.2 percent in February. Food prices rose by 18.3 percent year-on-year last month, down by 3.6 percentage points from a month earlier.
To offset the impact, the central government last month announced a plan to increase the level and coverage of price subsidies targeting the disadvantaged between March and June.
Peng Shaozong, deputy head of the National Development and Reform Commission's price department, said recipients are expected to claim double the amount of subsidies during the period, and the new policy will expand access to 8 million more people deemed vulnerable to inflation, mainly the jobless and orphans.
Peng said the commission－China's top economic planner－has urged that the assistance reaches people's accounts within 20 working days after the release of the monthly CPI statistics.
Incomplete figures provided by the Ministry of Civil Affairs show that 1.88 billion yuan has been handed out to more than 61 million disadvantaged people.
Hubei province－which was hit hardest by the outbreak－gave out 440 million yuan to 3.7 million people in the category, which is about 119 yuan per person every month, the ministry said.
Gui Zhen, head of the unemployment division at the Ministry of Human Resources and Social Security, said 93 billion yuan in unemployment benefits had been distributed to 2.3 million jobless people as of the end of March.
Another 2 billion yuan was allocated to subsidize their health insurance and 600 million yuan in funds was distributed to offset rising food prices during the same period, Gui said.
She added that 670,000 migrant workers have received one-time benefits amounting to 410 million yuan.
