BEIJING (Reuters) - China will step up policy measures in timely way to support the economy while studying new stimulus plans, state media on Friday quoted Premier Li Keqiang as saying.

China's worst COVID-19 wave since the Wuhan outbreak, the escalating Ukraine crisis and a sharp downturn in the domestic property sector are roiling the country's financial markets.

"Currently, some emergency events in the international and domestic environment have exceeded expectations, and economic operations are facing greater uncertainties and challenges," Li was quoted as telling a group of economists and company executives.

“We should implement policies in advance, step up policies in a timely way and study new contingency plans."

Analysts expect China's central bank to lower borrowing costs or pump more cash into the economy to spur growth.

China will strive to keep employment and prices stable, helping small businesses to tide over difficulties, Li said.

China will stabilise foreign trade and investment and keep its yuan currency basically stable, Li added.