August 26, 2024 (InvestinChina.asia) – Chinese authorities have approved nearly 1.4 trillion yuan ($200 billion) in loans for real estate projects as part of efforts to ensure the timely delivery of homes, according to recent statements by the National Financial Regulatory Authority and the Ministry of Housing and Urban-Rural Development.
During two press conferences organized by the State Council Information Office, officials outlined measures taken to safeguard the completion of residential projects. So far, commercial banks have greenlit financing for more than 5,300 projects included on a “white list,” indicating they meet certain criteria for support.
The Ministry of Housing and Urban-Rural Development stated that it had conducted a comprehensive review of all unsold and unfinished housing projects and identified 3.96 million units scheduled for delivery by the end of the year. Major developers like Country Garden, CIFI Holdings, and Greenland Holdings have seen multiple projects gain approval under the “white list” system.
For instance, CIFI Holdings reported that 68 of its projects were included in the first half of 2024, with 43 receiving funding support. According to data from the China Index Academy, 15 developers completed the delivery of over 20,000 units each in the first half of the year, with eight delivering more than 50,000 units.
The National Financial Regulatory Authority emphasized that local coordination mechanisms are actively gathering information on unsold and unfinished real estate projects. For projects seeking “white list” status but not yet meeting the required standards, banks are encouraged to provide tailored advice, while developers are urged to take corrective actions. Local governments are also playing a role in facilitating the inclusion of eligible projects in the “white list.”
These steps are part of a broader effort to stabilize the real estate market and protect homebuyers’ interests amid ongoing concerns about project delays and defaults.
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