China's State Council has announced it will create a 40 billion yuan or 6.5 billion U.S. dollar fund to spur innovation.

中国国务院宣布将创建一项价值400亿元人民币（65亿美元）的基金以鼓励创新。

The government-initiated scheme aims to attract social capital investment.

After an open bidding process, several fund management companies will be selected to manage the fund and be given the authority to make investment decisions.

The fund will mainly channel into start-up companies in emerging industries.

For more on the fund, we're now joined live with CRI Financial Commentator Cao Can.