China's National Development and Reform Commission (NDRC) Chairman Xu Shaoshi said on Wednesday that the country targets a 6.5%-7.0% growth in 2016. He noted that downward pressure on the economy will remain this year.

Xu pointed out that China's attempts to curb overcapacity will increase unemployment in provinces with high output of steel and coal.

"Now the problems are worse than they were two years ago but the government has the ability to cope," he said.