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Urbanization does not mean making urban and rural areas alike, the president stressed, saying that development should be steered according to differing local requirements.

Ruan Zongze said certain countries have mistaken China's necessary reaction to threats to its sovereignty as the country no longer adhering to the principle of "peace and development".

"In China, as we deepen our reforms and move towards greater openness, the structure of the economy has to be more rational and the legal system more complete. Economic growth will be based mainly on internal demand and a growing number of areas have opened to foreign investment," said the Ambassador, who believes Spain and China are moving along similar paths in their reforms, which serves to strengthen their relationship.

Breaking vested interests, whose monopolized power and resources are prone to be a source of corruption, will help the current anti-graft drive remove obstacles for reforms and bring about real change.

He considered the focus on China's official military budget and its evolution is somehow misleading. "To me, the institutional and organizational reforms that are now ongoing in China's security environment are more meaningful than overall budgets in addressing China's national defense needs, even if the two are linked," he added.