BEIJING, (Reuters) – China is equipped to deal with the economic problems despite slower growth. Premier Li Keqiang stated on Thursday that China’s government has full confidence in its ability to achieve full-year developmental goals.

Li said that China’s key economic indicators lie within acceptable limits, but he also acknowledged slowing growth during the third quarter, which he attributed to a number of factors.

Li stated, “The external environment is full of uncertainty and instabilities that are increasingly challenging economic stability.”

Li stated that the high commodity prices, elevated shipping costs and continued rise in operating expenses have impacted mid- and downstream businesses and industries.

He said that energy shortages can also cause economic problems. In addition, sporadic COVID-19 epidemics may also impact the recovery in consumer and service consumption.

“But, we’re taking various measures to conquer these challenges and problems and have quite a few tools in reserve to deal with them.

Li stated that government officials will take steps to ensure inflation doesn’t accelerate and provide power supplies for the winter and spring.

China’s third-quarter economic growth will slow to 5.2% from 7.9% in April-June. The reason is that factories are being hit by power shortages and supply issues. However, sporadic COVID-19 infections have influenced consumption. A Reuters poll revealed this.