China needs to urgently transform its economy:Cabinet think-tank

China urgently needs to transform its economy by implementing supply-side and structural reforms, the vice head of China's cabinet think-tank said on Monday.

"If old ways continue, not only will investment rates continue to fall and debt continue to rise, but financial risks will also increase," Wang Yiming, deputy director of the Development Research Centre of the State Council wrote in the ruling Communist Party's official newspaper, People's Daily.

The country needs to reduce the supply of ineffective and low-end products and increase supply of efficient, middle and high-end products, he wrote.

China needs to focus on structural reforms including reducing government bureaucracy, and reforming state-owned enterprises, as well as the fiscal, tax and financial systems, he added.