The Chinese government has pledged to improve the support systems for orphans to ensure they have happy lives with dignity.

The State Council, China's Cabinet, has called for diversified channels for orphan resettlement, including placement with relatives' families, welfare houses and with adoptive families, according to a circular issued after a State Council executive meeting held Tuesday and presided over by Premier Wen Jiabao.

Governments at all levels should allocate special funds to ensure orphans' living expenses are covered in a timely and sufficient manner, the circular said.

The central government will provide 2.5 billion yuan (374 million U.S. dollars) as special funds in 2010. The sum will be adjusted every year according to the number and demand of orphans.

Expenses for orphans' health care will be included in the nation's social insurance system, the circular added.

The circular also promised support for orphans' education, employment and housing.

Moreover, services at welfare houses for orphans will be improved and orphan carers will be trained to provide professional caring services, the circular added.