Children aged between three and six in Shenzhen's kindergartens will soon be eligible for a yearly government subsidy worth 1,500 yuan ($241), according to Monday's Nanfang Daily.

According to a new regulation, the subsidy will be offered to children of that age who have a Shenzhen hukou (permanent residency).

1,300 yuan will be deducted from tuition fees, with a free health checkup and books worth 200 yuan also provided.

About 200,000 children are expected to enjoy the benefit, which will cost local authorities 300 million yuan.

The report quoted Fan Kun, deputy head of the city's education bureau, as saying Shenzhen will invest some 850 million yuan in 2013 to subsidize preschool education, children's health, kindergarten teachers, and to set up more kindergartens.

The education bureau said the regulation will be launched before the Spring Festival, and that kindergartens and parents can apply online by the first semester of 2013.

According to the bureau, Shenzhen had 1,186 kindergartens in September 2012 attended by 316,700 children.