China's domestic consumption rate is expected to grow by 13 percent in 2006, serving as a major driving force of the country's economic growth, China Securities Journal reports on Friday.

Meanwhile, China's gross domestic products (GDP) will rise by 8 percent or 9 percent in 2006, and the gross domestic product (GDP) is to grow by 9.4 percent, the Journal quoted Yao Jingyuan, chief economist of the National Bureau of Statistics, as saying.

However, there exist some unstable factors in China's economy in 2006such as oversupply in some industries and an imbalance between international income and expense.

Yao advised the central government to reform the monopolized energy prices, so as to realize a smooth growth of national economy.

To encourage domestic consumption, Yao said the central government should further enlarge the domestic market of motor vehicles and houses by increasing the income of Chinese people.

Yao forecasts the growth of investment will be slowed down in the next year, but it will maintain at a high level, about 20 percent or above.

China's exports will maintain a rapid growth, said Yao. The export from non-governmental enterprises will be energetic.

Source: Xinhua