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The State-owned Assets Supervision and Administration Commission (SASAC) is confronted with a pressing need of reforming itself, a senior official told Xinhua on Saturday.

Shao Ning, vice director of the Financial and Economic Committee of the National People's Congress, China's top legislature, said the SASAC controlled state-owned enterprises (SOE) too tight.

"The commission took a grip on much more than it should do and some enterprises are complaining," said Shao, who resigned as SASAC vice director in 2013.

In his view, inflexible regulation of SOEs' core business hindered their restructuring and transformation and SASAC officials should refrain from intervening in their business activities.

Shao suggested the SASAC reflect on its policies and make changes.