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Subsidies on agricultural premiums totaled $4.1b

Updated: 2011-10-19 17:49

(Xinhua)

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BEIJING - China's central government has offered 26.21 billion yuan (about $4.1 billion) in subsidies on agricultural premiums in rural areas since the country started a scheme to help farmers ward off risk in 2007, a government official said Wednesday.

From 2007 to August, 2011, China's agricultural insurance institutions paid 35.6 billion yuan in insurance proceeds to more than 59.9 million rural households, according to Li Yong, vice minister of finance.

The premium income of China's agricultural insurances totalled 56.4 billion yuan during the period, with an average annual growth rate of 37.8 percent, Li said.

In the first eight months of the year, the income of agricultural insurances reached 14.186 billion yuan, an increase of 22.61 percent over the previous year, according to Li.

Li said China's agricultural insurance scheme has not only helped to improve financial services in rural areas, but has also boosted development in China's farming sector.

He said the country will continue to improve its insurance programs to help deflect risks in the farming sector.