The government of northwest China's Xinjiang Uygur autonomous region has promised policies including rent-free factories and favorable loan deals to boost the local textile industry and create 11,000 jobs this year.

Xinjiang will establish a fund for textile and garment companies to help them increase exports to central and western Asia, Russia and Europe, said Liang Yong, deputy secretary-general of the regional government.

New companies from other provinces will be offered new rent-free factories in industrial parks and Xinjiang's less-developed southern area of Hotan, Aksu, Kashgar and Kizilsu Kirgiz prefectures.

Other incentives will include transportation subsidies.

Fixed asset investment into textile and garment factories will reach 45.5 billion yuan ($69.5 billion) this year, said Liang.

Last year, the central and regional government spent 3.28 billion yuan on textile factories. Fixed asset investment reached 31.8 billion yuan, 2.3 times the figure in 2014. More than 97,000 jobs were created.

Authorities in Xinjiang, which produces 60 percent of China's raw cotton, have said they will continue to promote labor-intensive industries to alleviate poverty.