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"We should be fully confident in the future," he said.

Compared to the situation around two decades ago, the SOEs have more financial resources and capable executives to address the problem, he added.

He also welcomed German Chancellor Angela Merkel to visit China later this year to attend the fourth round of China-Germany inter-governmental consultations.

Although ailing global demand has substantially dragged down China's foreign trade, the government-pushed exports of advanced industrial production capacity and cooperation with countries along the Belt and Road will open new frontier of overseas-driven growth.

"Nepal can be a bridge between China and India," Xi said.