Local governments and property developers have accelerated fixed-asset investment, which grew at 26.6 percent year-on-year from January to July, according to official statistics.

The figure, up from 23.6 percent in the first quarter, shows the central government needs further tightening measures to tame the blistering economic growth.

Since 2003, when the government started taking steps to cool down the economy, mainly driven by investments, it has grown by more than 10 percent on average.