A devastated father has prepared his critically ill daughter for death by lying alongside her everyday in a grave he dug.

Zhang Xinlei was born with thalassemia, a serious blood disorder that has seen her heartbroken parents spend nearly $20,000 for much needed medical treatment.

Unable to fund further medical costs, Mr Zhang Liyong, a farmer from Sichuan province in China said he fears his daughter’s days are limited.

“We borrowed money from many, but they are no longer willing to lend us more," Mr Zhang told local media.

View photos Zhang Xinlei was born with thalassemia, a serious blood disorder that has seen her heartbroken parents pour in nearly $20,000 for much needed medical treatment. More

View photos The couple are now expecting their second child and briefly considered using the umbilical cord blood to help Xinlei with her treatment but soon realised they would not be able to fund the transplant. Source: Pear Video More

Mr Zhang shared their heartbreaking story as he and his daughter laid side-by-side in a grave he dug not far from their home.

With their options exhausted, Mr Zhang said they have given up on pursuing the costly treatment and have instead started preparing their adored child for her death.

“We have been driven into a corner, there is no other option,” Deng Min, the girl's mother said.

“I could only come up with this idea - bringing her to play at this place. This is where she will rest in peace. All I can do is accompanying her every day,” Mr Zhang added.

The couple are now expecting their second child and briefly considered using the umbilical cord blood to help Xinlei with her treatment but soon realised they would not be able to fund the transplant.

Today's top news headlines - June 30