BEIJING, Oct 17 (Reuters) - China's economy showed a significant recovery in the third quarter and employment is generally stable, said an official at China's economic state planner on Monday, but the economy still faces many challenges and difficulties.

The comments come as the world's second-largest economy has grappled with stringent COVID-19 curbs and a deepening property crisis.

"The improvement of the Chinese economy will be consolidated as the effects of macro policies continue to be released," said Zhao Chenxin, deputy head of the National Development and Reform Commission, at a news conference.

Chinese President Xi Jinping touted the fight against COVID-19 as he kicked off a Communist Party Congress by focusing on security and reiterating policy priorities on Sunday, suggesting strict pandemic restrictions will not ease anytime soon.

China's economy likely grew 3.4% in July-September from a year earlier, gaining pace from the 0.4% growth in the second quarter, but the expected 2022 growth could still be one of the weakest in almost half of a century, a Reuters poll showed.

China will unswervingly promote the opening up of its markets and give greater space for economic development in Hong Kong and Macau, Zhao added.

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