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China's economy expanded faster than expected from January to June, with GDP surging 6.9 percent year-on-year to about 38.2 trillion yuan, data from National Bureau of Statistics showed.

China's overall leverage ratio is still growing, but at a slower pace. Overall leverage was 257.8 percent of GDP at the end of the first quarter of 2017, slightly up from 257 percent at the end of 2016. The non-financial corporate leverage ratio declined to 165.3 percent at the end of March from 166.3 percent at the end of 2016, according to BIS.

China's emergence as a key player in the sector in a relatively short space of time has attracted the attention of financial centers seeking to tap a growing market.

China's national observatory said earlier this month that low precipitation and strong winds have put southwestern provinces of Sichuan and Yunnan at high risk of forest fires.

China's economic growth will not be derailed by deleveraging moves as the government will implement such efforts at the proper pace, according to senior officials with the nation's top economic regulator.