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NEW YORK, Dec. 17 (Xinhua) -- China is playing a bigger role in the functioning of world economy, defying the prophets of doom again, world media reported.
China has ended the year with its old growth engines roaring and new drivers like consumption in robust health, says a report by the Australian Financial Review (AFR).
"Compared to January, when people thought China was having a hard landing and capital outflows were huge, this year is way better than expected," Larry Hu, head of China economics at Macquarie Securities in Hong Kong, was quoted as saying by the AFR.
Despite a troublesome start, the Chinese economy is ending 2016 on a firm footing, with encouraging signs of growth being on track to meet the this year's target, said a statement issued on Friday.
The statement was issued after the Central Economic Work Conference, during which Chinese leaders and senior officials gathered to map out priorities for 2017.
In the first three quarters, the Chinese economy expanded 6.7 percent, steady with the first half of the year and within the government's target range of between 6.5 percent and 7 percent, said the statement.
The expansion is on pace to land in the middle of the government' s 6.5 percent to 7 percent full-year objective and the expansion was projected at 6.7 percent, according to a Bloomberg report.
Friday's statement has also warned of problems in the economy, including persistent industrial overcapacity and accumulating financial risks.
On the risk side, curbing asset bubbles will assume more importance in 2017 as the property market has raised fears of risks to financial stability, said the statement.
"China needs SOE restructuring, deleveraging and deregulation...We expect the government to do whatever it takes to achieve GDP growth of around 6.5 percent," Yang Zhao, a China analyst at the Japanese financial holding company Nomura, was quoted as saying by the Singapore news portal AsiaOne.
The property market will also need to be cautiously monitored. Targeted measures to cool the market in tier 1 and 2 cities have already started to have effect with investment slowing down in those cities, according to the news portal.
"Stimulus may be needed next year to offset the likely drag on growth from curbs on home sales," Wang Tao, head of China economic research at UBS Group in Hong Kong, told the AFR.
