The head of the International Monetary Fund (IMF), Christine Lagarde, has stressed that there are positives in the Chinese economy and that it's not all 'doom and gloom'.

Speaking to the BBC, Ms Lagarde said: "I would say that it's a recovery that is decelerating a bit.

"We are seeing massive transitions at the moment."

She also said that the IMF expects China's economy to gain some added momentum next year.

After years of double-digit growth, China's economy rose by just 7.4% last year. And whilst those sorts of figures are ones the majority of the developed world can only dream of right now, it was China's weakest growth for quarter of a century.

And it seems things are getting worse, in the short-term at least. The Chinese government expects growth to slow even further to 7% this year. The IMF's official forecast is 6.8%.

Ms Lagarde explained to the BBC that China, like many emerging economies around the world, was having to cope with falling commodity prices. She said: "Whether you look at China transitioning from one growth model to the other, from one exchange currency method to another ... we are having to adjust as a result."

Exports or consumers?

Much of China's growth over the past 25 years has been due to the incredible strength of its exports. You only need to look on the bottom of so many products we buy in the UK to see the familiar "Made in China" statement.

But that is changing. China is still a huge exporter, but its government is trying to shift the economy's focus onto the consumer.

The UK's economic recovery has been driven by the consumer. Low inflation, low interest rates and growing wages have given the consumer more spending power. And with the largest population in the world, China wants to increase and harness the spending power of its consumers.

Christine Lagarde said the IMF was "very supportive of the transition that is taking place at the moment".

She expects the Chinese government to better communicate the changes taking place in its economy with the rest of the world.

"You don't move just overnight from being heavily controlled to being market determined, with massive market expectations that suddenly the situation should be the same across the world," Ms Lagarde said.