The Chinese capital must navigate some major obstacles on the path to becoming a world city, Beijing's executive vice-mayor has said.

Ji Lin said local authorities are being ultra cautious with thorny issues such as garbage disposal, traffic restrictions and soaring housing prices as the city enters its post-Olympics development stage.

During the city's annual legislative meeting that ended over the weekend, a government work report that proclaims Beijing's ambition to be a "world city" in four decades was approved.

The city seeks to exert global influence in finance and politics, and boast world-class urban facilities, Ji told China Daily.

"(But) Some urgent problems need to be tackled before people around the world view Beijing as a world city," he said.

Beijing's per capita GDP exceeded $10,000 last year, ranking it among the richest cities in the country. But basic concerns, such as overpopulation, housing, transportation and medical care, have hindered the expansion of the mega city with a population of nearly 18 million.

"Like in any other city worldwide, rapid urban development solves many old problems, but also spawns others which can only be resolved through further development," Ji said.

On environmental concerns over the disposal of 18,000 tons of garbage produced each day, the official said authorities have no plans to drop controversial waste incineration technology which has not been used in Beijing for years amid public protests.

But the government will first reduce, classify and recycle waste, leaving only the rest, which must be burned, for incineration, Ji noted.

He also revealed the city has dropped the proposal to build a massive incineration power plant in north Beijing's Asuwei area amid environmental concerns. Instead, it has doubled the investment and plans to build a waste treatment industrial plant later this year that focuses more on recycling and less on burning.

Ji said Beijing will continue encouraging residents to buy new cars while sticking to the weekly "no-car day". The government will also allot over half of new land this year to build low-cost accommodation for lower-income groups and tighten controls over land speculation.

The 47-year-old official took the helm of the city's economic development just before the 2008 Olympic Games, which signaled a new development phase for Beijing.

The city welcomes more regional head offices of international organizations, including corporations and NGOs, and is looking for global talents working for these institutions to settle down in the city, Ji said.

The exit and entry administration of the Beijing Public Security Bureau told China Daily earlier that a record number of visas are expected to be issued in Beijing as fresh job opportunities amid the economic recovery this year attract more foreigners.

The official said Beijing still lags world cities such as New York, London and Tokyo in one indicator or another, but is catching up.

"People don't like the government talking big about a world city. They want their daily concerns addressed in a world city.

"The government must make sure the residents get their share of the benefits generated by the city's speedy expansion."