A red flag covers a soldier from the honour guards during a welcoming ceremony for Malaysia's Prime Minister Najib Razak outside the Great Hall of the People, in Beijing, China, November 1, 2016. Photo: Reuters/Jason Lee

China has set up five police special units to tackle a rise in financial crime, such as bank and securities fraud as well as insider trading, Xinhua news agency reported on Tuesday evening.

The units will lead financial crime investigations, provide specialist training and act as research centers into tax and securities fraud, Xinhua said.

They will be based in Liaoning province, Shanghai, Chongqing, Qingdao and Shenzhen, and will fall under the Ministry of Public Security and the China Securities Regulator Commission.