The development of the social welfare system, covering areas such as healthcare, support for the elderly, education, housing and poverty relief, mirrors that of the entire nation. Under Chinas sweeping reforms over the past few decades, the social security network is no longer solely funded by the government and employers, formerly either state- or collective-owned. Social medical insurance and pension insurance have been introduced. Commercial housing projects are now the major source of private homes, but public housing projects remain an important supplement for people on medium and low incomes. The education sector is still largely financed by state money, with a small part of its revenues coming from tuitions and fees, donations and commercial operations.

Public medical insurance now covers 96 percent of the Chinese population, and all citizens will have pension insurance by the end of this year. Investments in public education and assistance to underprivileged groups have been intensified. Though Chinas social security is still fairly basic compared to that in some countries, its coverage has been growing and improving. After the goal of universal coverage is realized, work on higher benefits can begin. Achieving these goals is just a matter of time.