BEIJING, May 11 (Xinhua) -- China will expand reform within the country's public hospitals nationwide this year, the National Health and Family Planning Commission (NHFPC) announced Thursday.

The hierarchical medical system pilot program will also be expanded to reach at least 85 percent of prefecture-level regions, according to documents released by the commission.

More policies will be issued regarding the hierarchical medical system, hospital management, medical insurance, medicine supplies and comprehensive supervision by the end of the year.

Liang Wannian, an NHFPC official, said that system reforms covering medical services, insurance and medicine should be advanced in a coordinated manner.

China has earmarked over 1.4 trillion yuan (203 billion U.S. dollars) in its budget for health and medical expenditure this year.