China’s financial regulators last week issued an unprecedented 16-point plan to rescue the country’s floundering real estate market.
The People’s Bank of China and the China Banking and Insurance Regulatory Commission jointly issued the plan in a note to financial institutions to support real estate companies.
The policy is being seen as the most powerful support for the struggling sector so far, which includes the expansion of financing channels for real estate enterprises.
The measures state that funds for “guaranteed housing” should come from policy banks, and that various loan extensions have been granted.
Starting from Nov. 11, development loans and trust loans due within the next six months were allowed to be extended for one more year, the policy states….