China will continue to implement a proactive fiscal policy and a moderately easy monetary policy in 2010, says a government work report to be delivered by Premier Wen Jiabao at the parliament's annual session Friday.

"We need to maintain continuity and stability in our policies while constantly making them better-targeted and more flexible as circumstances and conditions change," reads the report, distributed to the media before the opening of the Third Session of the 11th National People's Congress (NPC).

The report says China will not only "maintain sufficient policy intensity and consolidate the momentum of the economic turnaround," but also need to accelerate economic restructuring and make substantive progress in transforming the pattern of economic development.

In addition, China also needs to manage inflation expectations well and keep the overall level of prices stable, the report says.

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