Chinese Premier Wen Jiabao presided over a regular meeting of the State Council this week during which work on China's earthquake relief and economic activities was deployed.

Premier Wen said that China's central finance would arrange RMB70 billion this year for the post-earthquake reconstruction and would make further arrangement for next year and the year after next at a later time.

The meeting pointed out that the earthquake that hit Wenchuan, Sichuan Province on May 12 has caused great loss to local people's lives and properties, and though the government and the whole society have worked hard in the rescue efforts, there are still many difficulties left ahead.

The meeting made an analysis on China's current economic situation. It said that China's economy remains stable in general, but there are problems such as price increases and a shortage of coal, oil and power in some areas. The earthquake in Wenchuan has also seriously affected the country's economy and brought some uncertainties to the economic development.

The meeting emphasized that high priority should be continuously given to the earthquake relief in Sichuan and other areas of China while efforts are being made in developing the economy with focus given on controlling price increases and maintaining stable economic growth.