China to subsidize low-income groups to counter surging food prices
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China's Ministry of Civil Affairs Tuesday urged local authorities to map out temporary subsidy plans for both urban and rural low-income groups to help them cope with food price hikes.
A rise in the prices of daily necessities has affected low-income people's lives, Vice Minister of Civil Affairs Luo Pingfei said. "We will try to ensure their basic lives and minimize the impact of price rises."
Luo told local authorities to determine the period of time to pay the subsidies.
China's CPI, the main gauge of inflation, rose to a 25-month high of 4.4 percent in October. The increase was mainly due to a 10.1-percent surge in food prices.
Luo said he hopes the country establishes a mechanism to link subsidies for low-income groups to changes in the CPI.
The vice minister said low-income residents will receive the temporary subsidies with this month's minimum subsistence allowance.
Subsistence allowances, an important part of China's social security system, enable low-income households in both urban and rural areas to access adequate food and clothing.
As of October, more than 74 million people were receiving the allowance.
