China creates more development zones to foster innovation

BEIJING -- The Chinese government said on Wednesday that it will accelerate building two more national-level development zones to encourage innovation, as the country seeks to foster new engines for growth.

The government approved the establishment of the two "national innovation demonstration zones" in Fujian province and Anhui province, respectively, according to a statement released after the State Council's executive meeting on Wednesday, chaired by Premier Li Keqiang.

The decision was made after similar zones, including Beijing's Zhongguancun, and Shanghai's Zhangjiang high tech zone, have played experimental and pioneering role in the nation, and those models need to be replicated across the country, said the statement.

The government vowed to cut red tape and provide better services to those development zones, making them better serve the nation's economic rebalancing drive.

The government also announced a string of new measures to provide more medical financial aid for residents in the poverty-stricken areas.

Rural residents living in poverty would get more reimbursement when they are hospitalized, and would be covered by the critical illness insurance, according to the statement.