More proactive policies will be carried out this year to create jobs for key groups, including college graduates and discharged soldiers, according to a State Council executive meeting on Wednesday.

The meeting, presided over by Premier Li Keqiang, set employment as a continuing priority, with new supportive measures while the country faces economic challenges, according to a statement released after the meeting.

Mass entrepreneurship and innovation will be further promoted and all eligible enterprises will benefit from favorable policies to boost startups and innovation, the statement said.

The government will focus on key groups, with more aid to areas where excess industrial production capacity is cut, while local governments will be encouraged to set up funds for college graduates to start their own businesses. Local governments are also encouraged to grant one-time subsidies to those who have difficulty finding a job.

Soldiers who leave the military will receive new jobs after their discharge.

Internship subsidies for college students can be expanded to students at secondary occupational schools in far-flung and poverty-stricken areas and old industrial centers.

A new, supportive plan will promote innovation and entrepreneurship for overseas returnees with simplified ways of recognizing diplomas from other nations and more chances for high-level talent to obtain permanent residency.

Employment has been key for Li and the central government since jobs are a crucial way to improve people's livelihood. In his Government Work Report delivered to the top legislature last month, the premier pledged a target of at least 11 million new jobs in urban areas this year.

A record high of 7.95 million college students are expected to enter the job market in summer, along with more than 4 million students at secondary occupational schools. Former employees of factories cutting excess production capacity will have to be transferred to other posts.

"If jobs are ensured, the economic growth is acceptable, whether it's higher or lower," Li said in a panel discussion with National People's Congress deputies from Anhui province on March 10.

Xia Xueluan, a guest professor of sociology at Sanya University in Hainan province, said jobs are the most fundamentally significant way to help residents lead a well-off life. Without a steady increase in jobs, social stability and economic development cannot be achieved, he said.