The Chinese Government dispatched high-level delegations to the first and second world conferences on ageing held by the United Nations, and other international and regional conferences on ageing. It hosted the Follow-up Action Conference for the Asia-Pacific Area of the UN's Second World Conference on Ageing, as well as several international and regional conferences on ageing. It took part in formulating and actively implemented international ageing action plans and the Asia-Pacific region's ageing action plans. China actively engages in multilateral and bilateral global and regional exchanges and cooperation in the field of ageing. It has joined six international organizations engaged in this work, and has established business contacts with related organizations in more than 90 countries and regions. It has worked on cooperative projects with relevant agencies of the United Nations, the European Union, and governmental and non-governmental organizations (NGOs) of some countries in scientific research on ageing, helping elderly people out of poverty and education for elderly people.

II. Old-Age Security System

China regards the establishment of an old-age security system corresponding to the level of the country's socio-economic development and ageing population as an important task and a priority area in its undertakings for the aged. In recent years, China has gradually established and improved an old-age security system involving the government, society in general, the family and individuals in its efforts to guarantee the basic life of elderly people.

Establishing an Old-Age Insurance System in Urban Areas

In recent years, the Chinese Government has gradually established a uniform basic old-age insurance system in urban areas that covers all the employees of different types of enterprises, persons engaged in individual businesses of industry or commerce, and people who are employed in a flexible manner. By the end of 2005, the number of people participating in the basic old-age insurance scheme across China had reached 175 million, 43.67 million of whom were retirees. The disbursement of the old-age insurance fund was 404 billion yuan. The state has also set up an adjustment mechanism of the basic pension, by which the state adjusts the level of the basic pension of enterprise retirees in light of price fluctuations and wage raises of enterprise employees. A retirement system for staff members of government agencies and public institutions has been established; these people get their pension either directly from the Central Government finances or from their former employers at the rate stipulated by the state.

The state raises funds for the basic old-age insurance through multiple channels so as to increase the fund reserve needed for the increasingly larger gray population and ensure that enterprises' employees get their basic pension in full and on time. The state has made greater efforts to ensure that payments are made to the funds for the basic old-age insurance. By the end of 2005, the balance of China's basic old-age insurance funds was 404.1 billion yuan, and the total payment to the funds that year was 431.2 billion yuan. The government has also increased its financial input into the fund. In 2005 some 65.1 billion yuan of the basic old-age insurance fund came from government finances at different levels. Besides, a nationwide social security fund has been established, and by the end of 2005 the accumulated total was 201 billion yuan.

The state is actively developing supplementary old-age insurance. It guides and helps enterprises with adequate capacity to set up annuities for employees. Both enterprises and employees pay toward the annuity, so that funds are accumulated and managed under individual accounts. By the end of 2005, a total of 24,000 enterprises all over China had set up enterprise annuities, with 9.24 million employees participating. The state also encourages the development of old-age insurance attached to personal savings deposits; and guarantees the livelihood of elderly people through multiple channels.