China's economic fundamentals remain strong

Policymakers still have ample ammunition to use if they need it

China's economic growth stabilized in the first half of this year, with initial signs showing it could continue to be stable during the rest of the year, say analysts.

Even though the country's GDP growth dipped to 6.7 per-cent year-on-year in the first six months, according to the National Bureau of Statistics, fixed-asset investment grew 9 percent year-on-year in the same period and retail sales increased by 10.3 percent. And China's GDP growth is within its targeted range of 6.5 to 7 percent for this year, while its industrial and investment structures have improved, with growth of high-tech and consumption products increasing strongly, analysts say.