By Special Correspondent

China will allocate 1.25 trillion yuan in transfer payments in 2026 to support the country’s basic pension schemes and ensure the timely payment of retirement benefits, according to the draft central and local budgets submitted to the national legislature.

The report states that the central government will provide the funds to support the basic old-age insurance system and ensure that pension payments are made on time and in full across the country.

Authorities will continue working to bring basic old-age insurance funds for enterprise employees under unified national management.

The report notes that the financing and adjustment mechanisms for basic old-age insurance for rural residents and non-working urban residents will also be improved.

Under the 2026 plan, the minimum basic old-age benefits for rural and non-working urban residents will be increased by 20 yuan per person per month.

The government will also accelerate efforts to establish long-term care insurance schemes as part of broader measures to improve elderly care services.

According to the report, programs providing subsidies for elderly care services will continue to be expanded for seniors with moderate or more severe functional impairment.

These services include home-based, community-based and institution-based elderly care.

Authorities will also promote the development of public-interest elderly care institutions and improve the elderly care service system at the county level.

The report states that the government will continue implementing the childcare subsidy system and expand demonstration programs for subsidized childcare services.

Efforts will also continue to improve the maternity insurance system.

Authorities will work to strengthen the multi-tiered and categorized social assistance system and increase support for low-income groups.

Additional measures will also be taken to support programs for people with disabilities.

The report states that fiscal support will also be provided for initiatives aimed at strengthening disaster prevention and mitigation capacity and improving the ability to respond to emergencies and natural disasters.

Credit: INP-WealthPk