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"Positive signs have been increasing in the last two months and structural readjustment has been accelerated," said a statement released after an executive meeting of the State Council presided over by Premier Li Keqiang.

The new regulation offers fresh guidelines for the establishment, function, principles and decision-making procedures of such a group, stressing supervision over operations and a system to pursue liabilities in case of errors.

Mario Pezzini, director of the OECD Development Center, said Li's statements were impressive and touched upon a variety of topics.

The survey showed 96.7 percent of entrepreneurs interviewed consider it "necessary" to streamline administration, while 74.5 percent of them said such government reforms boost efficiency.

Zhao also brushed off criticisms that China is militarizing the waters by turning it into defense outposts to strengthen its claim.