Economic hit from coronavirus will be limited

China has the ability to cope with the various risks and challenges amid the COVID-19 outbreak, and the Chinese economy is poised for steady, healthy and sustainable development, according to the country's top economic regulator.

"While the coronavirus outbreak dealt a huge blow to economic activity, it will only result in temporary limited economic effects," He Lifeng, head of the National Development and Reform Commission, said on the sidelines of the ongoing two sessions on Friday. "The fundamentals of China's sound economic growth will remain unchanged, and we have the capabilities, confidence and determination to continuously promote the steady, healthy and sustainable economic development."

He admitted that the coronavirus outbreak severely impacted the world's second-largest economy, as China reported its first quarter GDP contracted by 6.8 percent from a year ago. Specifically, small- and medium-sized enterprises and some industries such as catering, accommodation and movies were hit badly by the coronavirus.

To hedge against the coronavirus effect, the government has rolled out a slate of policies to help companies resume work and production in an orderly manner.

With the help of government measures to reboot the economy, the country's total added value of industrial enterprises above a designated size surged 3.9 percent on a yearly basis in April, compared with the 1.1 percent decrease in March. And the country's yuan-dominated export in April rose 8.2 percent from the same period a year ago.