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But Tourk also admitted that China faces multiple economic, social, and foreign policy challenges at present, and most of these issues need to be tackled simultaneously.

Nirj Deva, chairman of the group, said that during the visit, they saw the efforts the regional government has made to protect the local culture, art and history.

"Global financial markets have seen bouts of turbulence since last year, but global financial system has remained sound and resilient," he said, adding that it reflected the effects of financial sector reforms since the global financial crisis.

The two countries should properly "manage historical issues, and prevent new issues from emerging" in a bid to cut back on the "stumbling blocks," Xi added.

Pemmaraju Sreenivasa Rao, a former chairman of International Law Commission, said the tribunal failed to recognize that issues of interpretation and application in this case are integrally linked to the issues of sovereignty and maritime delimitation, hence made the decision much less persuasive.