Chinese President Xi Jinping has acknowledged that businesses are struggling and young people are facing trouble finding work in the country, media reports said.

It was the first time Xi mentioned about the economic challenges in his New Year message since he started giving it in 2013.

Acknowledging the “headwinds” facing the country, Xi admitted in the televised speech as quoted by CNN: “Some enterprises had a tough time. Some people had difficulty finding jobs and meeting basic needs.”

“All these remain at the forefront of my mind,” Xi said in remarks which were also widely circulated by state media. “We will consolidate and strengthen the momentum of economic recovery.”

Ahead of Xi's message, the National Bureau of Statistics (NBS) published its monthly Purchasing Managers’ Index (PMI) survey that showed the country's December factory output slipping to lowest level in six months.

The official manufacturing PMI dropped to 49 last month, down from 49.4 in November, according to a statement from the NBS as quoted by CNN.