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China's fast-developing services sector will continually support the job market and minimize the negative impact of US tariffs on China, he said.
China's growth is expected to be 7.9 percent next year based on the assumption of continued recovery and normalization of activity in major economies if a vaccine is released, it said.
China's economic output in the fourth quarter of 2020 is on track to be higher than Capital Economics' forecast a year ago and the economic output would remain above trend for much of 2021, according to the note.
China's investment market is witnessing its "coldest winter" with total funds raised falling by 10 percent on a yearly basis to 1.08 trillion yuan (3 billion) during the first 11 months of this year, with some industry experts opining that the drought is not as bad as predicted.
China's current debt has not surged to an outlandish level, but the country should press ahead with reforms as the economy retains its strong growth momentum, a senior representative with the International Monetary Fund said on Thursday.
