On Aug 16, the State Council executive meeting discussed two topics regarding the well-being of the vulnerable groups.

According to the meeting, high school students from registered poor families will be exempt from tuition fees.

“The policy is aimed at not only easing their financial pressure but offering impoverished students opportunities to enjoy higher education in order to fundamentally lift the impoverished families out of poverty,” said Premier Li, adding that all related departments should attach great importance to targeted poverty relief work and make sure the policy bonus will benefit the neediest and most impoverished families.

The meeting also decided to implement a mechanism to connect the consumer price index with social welfare.

Regarding this, Premier Li emphasized that the mechanism is aimed at making sure the welfare system is fair and equal despite the ups and downs of prices.

“We have established a mechanism in the past, but it failed to function because the standard for subsidy was vague and inflexible, so this time we should be accurate about each figure. When there is a fluctuation in the figure, local authorities should initiate the subsidy mechanism in a timely manner to ease the pressure of rising prices,” the Premier said.

In addition, the meeting came up with three key figures for the mechanism. Subsidies to households with financial difficulties will be allocated when monthly CPI grows 3.5 percent year on year, or food prices rise six percent. Authorities should make sure that people receive financial aid within 20 days after the related data is released.