China's economy is stabilising

China's economy is stabilising slowly as pro-growth government policies gain traction while real estate curbs have surpressed speculation, the head of the country's top planning agency, the National Development and Reform Commission, said on Wednesday, the Reuters reports.

Zhang told a meeting of the National People's Congress (NPC), China's top legislature, that China's two-pronged policy programme had been effective.

China's economy grew 7.6 percent year-on-year in the second quarter, its slowest pace in more than three years. The country is forecast to deliver its slowest full year of growth since 1999, at just 8 percent, according to the latest Reuters poll.

Zhang was delivering a report to China's lawmakers on the progress of national economic and development plans in the first half of 2012.