China's Supreme People's Court (SPC) has broadened the definition of "sponsoring terrorist activities" in a bid to cut terrorist support chains.

In a new legal interpretation on money-laundering and related crimes issued Tuesday, the court defined sponsorship of terrorism as both raising and providing funds for terrorism.

Financial aid to terrorism should not be limited to money, but should also include materials, locations and other conveniences, according to the interpretation.

The definition applied to both the planning and perpetration crimes, it said.

Supreme People's Court spokesman Wang Shaonan said the interpretation offered a tighter and more accurate legal basis for judicial practice.

"Terrorist activities cannot continue without financial support. It will be effective in combating terrorism," Wang said.

The interpretation also extended the concept of money-laundering to all those involved in illegal cash transfers through pawn shops, rent, investment, lottery sales, coupons and gambling.