The government should impose a series of measures, including tax reductions, to lessen companies' burdens and stabilize the economy, Premier Li Keqiang said on Tuesday.

Economic growth is facing challenges from both domestic and overseas areas, and the government will stabilize the economy and achieve medium-to-high growth, he said.

The premier made his remarks during talks with economists and businessmen from both State-owned and private companies from industries including machinery, clothing, electronics, iron and steel manufacturing and logistics.

During the talks, ideas were exchanged with the Premier and feelings were expressed toward positive changes brought about by the government's reform measures.

Li said the government will speed up structural upgrades, improve the quality and efficiency of economic development, and achieve medium-high level development.

The government has set a goal of establishing a well-off society by 2020, balancing urban and rural development, achieving ecological civilization, ensuring social justice, raising per capita GDP to $12,000 and getting rid of the "middle-income trap," Li said.

The premier pointed out that there are difficulties and challenges ahead and the government should be confident and make efforts to overcome them.

The government will make full use of the fiscal policies, reduce taxation and help companies overcome difficulties and upgrade structure, he said.

There will be more investment to improve infrastructure in middle and western China to achieve balanced development and private companies are welcomed to invest in such projects, Li said.

He also promised to keep innovation in monetary policies in an effort to provide better services to the real economy and reduce companies' costs in financing.

The government will also make efforts to create a fair environment for market competition, enhance supervision toward the quality of goods, and make stricter standard for industrial upgrade.

The Premier pointed out that innovation should be placed at the heart of the national strategy. Through reform and innovation, China's 1.3 billion people's demands will be realized. The intelligence of the country's more than 900 million labor force and 150 million skilled workers will be fully utilized.