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Premier Wen Jiabao said Friday that China has the conditions for maintaining the current momentum of steady and fast economic growth and that his government has full confidence in its task.

Over the past years, China's economy has maintained stable and rapid growth, but "it is not a time for complacency", the premier told a press conference shortly after the closing of the annual parliamentary session Friday morning.

The Chinese economy still has some major problems, namely unstable, unbalanced, uncoordinated and unsustainable problems, Wen said.

The unstable matter is that China has an excessively high investment growth rate, excessively large extension of credit, excessive liquidity of the currency, and improper foreign trade and international payment, Wen said.

China has unbalanced development between urban and rural areas, between different regions, and between economic expansion and social progress, the premier said.

The primary, secondary, tertiary industries are not coordinated, investment and consumption are not coordinated, and China's economic growth relies too much on investment and export, said the premier.

The unsustainable issue is that China has failed to address well the issues related to energy saving, emission reduction and environmental protection, he said.

In order to achieve sustainable development, the premier said, China need to boost domestic consumption, push forward reform and opening-up, remove institutional obstacles, encourage intellectual and technological innovation, and make more efforts to conserve energy and reduce emissions.

"The conditions are there, and the most important factor is that we can strive for a peaceful environment for a long period of time to concentrate our resources and energy on economic development," Wen said.

"To achieve the task, although it is very arduous, we have full confidence," Wen said.

China's economic growth rate reached 10.7 percent in 2006, the fourth year in a row that the country's GDP growth rate exceeded 10 percent while keeping the inflation rate at a low level.

(Xinhua News Agency March 16, 2007)