Reforms to keep growth on right path

China should push ahead with fiscal and financial sector reforms amid three major downside risks, a World Bank report released on Friday said.

According to the Washington-based development bank, the main risk for China is "an abrupt deleveraging of local government debt that could trigger a sharp slowdown in investment growth."

The other risks include the sudden change in the cost of and access to capital in specific sectors that could result in significant reduction in economic activity.