Lou said China’s retail sales could reach 40 trillion yuan ($5.8 trillion) this year and grow to 43.3 trillion yuan next year. Consumption is set to contribute 78.2 percent of GDP growth this year, the highest level since 2001, he said.

“China’s economy will not suffer from a hard landing next year,” said Yang Yiyong, director of the Social Development Research Institution, part of the National Reform and Development Commission, a top economic regulatory body.

Economists said that to ensure stable growth against internal and external headwinds, China needs to continue its structural reforms.

“China should stick to reforms to boost growth,” said Han Wenxiu, deputy head of the office of the Central Leading Group on Financial and Economic Affairs, at a forum on Saturday.

China should deepen reforms in State assets, finance, land, market entry and market regulation to promote competition and improve the systemic environment through creation of a level playing field, he said.

The State Administration of Taxation said on Monday that it will “strictly implement tax cut policies” and resolutely prevent “excessive collection of taxes” to foster a law-based and equitable taxation environment.