Jul.2--China's Ministry of Finance announced Tuesday it has allocated 48 billion yuan (7.8 billion U.S. dollars) from the central budget to subsidize ecological functional zones to improve their public services.

The zones are defined as areas that play a central role in water and soil conservation, wind shielding as well as the protection of biological diversity.

As commercial development is not allowed for fear of damaging the environment, 200.4 billion yuan has been channelled to those regions since 2008 to guarantee public services in the zones.

So far, 512 towns and cities have benefited from subsidies.