The latest support measures the Chinese government announced on housing have sought to re-establish lifelines for struggling developers, clarifying that credit forbearance would not be considered as stepping on the red lines. After sharp deleveraging over a year, stabilising the market is now the priority.
On 11 November, China’s PBoC and CBIRC (Banking and Insurance Regulatory Commission) jointly released the Notice on Implementing Current Financial Support for Stable and Healthy Development of Property Market, with 16 points of policy measures guiding financial institutions to support the property market.
This is the first high-level comprehensive policy package introduced since the outbreak of the property sector crisis. It provides unprecedented specific instructions in the banking and financial market to address various hot issues, including financing for real estate companies, supporting project delivery, solutions for distressed companies and projects, protecting mortgage borrowers, and supporting rental housing.
You can now read the full whitepaper at the link below
