China should further upgrade financial services in rural areas to boost economic development, and improve the standard of living for farmers. This is according to a report from the Central Bank released late on Friday.

Other suggestions include the provision of more low-cost financial services in rural areas, better methods to manage credit-risks, and active encouragement for innovation in financial products.

The report released by the People's Bank of China also said that despite recent rapid growth in the rural economy, financial services in these areas still lag far behind those in bigger cities.

(CCTV September 22, 2008)