Chinese Prime Minister Li Keqiang told local and foreign business representatives at the ongoing Summer Davos in Dalian, Liaoning province, on Thursday that China will continue to reform its economy in order to ensure stability and open up the local market to investors.

Many analysts have pointed out that the recent devaluation of the yuan affected financial markets and businesses across the world. Premier Li dismissed speculations that the devaluation of the yuan was carried out to boost exports.

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"The truth is, after the small adjustment, the RMB exchange rate is now basically stable," he said. Li noted that China does not want a "currency war" as the country's economy would equally be affected in a negative way. He assured investors that there are no plans to continue depreciating the yuan.

Nonetheless, he said "China will not waver in its commitment to pursuing the reform, nor will the reform grind to a halt. But, the reform will be conducted in a step-by-step way."

He said China will continue to promote foreign investment in the country. According to Li, authorities would grant the central banks of other countries access to China's interbank foreign exchange market. Li also announced plans to create an international RMB payment system this year to strengthen the country's offshore currency market. He said the government has reduced the number of items foreigners are restricted from investing in.

"China wishes to join the SDR, not just for making the RMB more internationalized, but also for fulfilling China's due international responsibilities as a big developing country," he said. "China is not a source of risks for the global economy; China is a driver of world economic growth."

Premier Li dispelled concerns that the Chinese economy was slowing down and affecting global growth. Although he acknowledged the effects of the latest global economic downturn on financial markets across the world, he revealed that China's economy has been performing positively.

According to Li, in the first 6 months of this year, China's economy grew by 7 percent. He said China contributed 30 percent of the global economic growth during that period.

He revealed that the government is promoting entrepreneurship in order to develop non-traditional sources of economic growth. The Prime Minister acknowledged that there would be minor fluctuations as the country's shifts dependence from the traditional sources of financial growth. He called for increased cooperation with other nations to boost China's production capacity.

Li expressed confidence that China's economy is developing healthily as up to 7 million urban jobs were created in the first half of the year and up to 10,000 new businesses were registered each day.

TagsSummer Davos Forum Dalian China, Yuan IMF SDR, Yuan Devaluation, RMB Cross-Border Payment System