Chinese Vice Premier Li Keqiang on Monday called for renovating the hovels in urban areas and at state-owned factories and mines across the country to better the livelihood of needy people.

Renovation of all squatter homes in cities and at state-owned factories and mines should be completed in the next fives years. Those hovels at state-owned forest zones, reclamation areas and coal mines will be renovated within three years, Li told a national meeting.

Different kinds of government funds will be used in the renovation work, and private investment will be encouraged, Li said, adding that favorable tax and land policies will be implemented.

He said the renovation efforts should be open and transparent and respect the wishes of the broad masses. Efforts should be made to avoid corruption.

Li said China will promote the building of low-rent houses to meet people's basic needs for housing.

By the end of 2008, China has 11.48 million families living in hovels, 7.44 million of which live in cities, 2.38 million nearby state-owned plants and mines, 1.66 million in forest zones and reclamation areas.