Chinas government is taking steps to prop up its housing sector‚ a high-ranking official stated on thursday. Ni Hong‚ the Minister of Housing and Urban-Rural Development announced plans to broaden the scope of a white list for housing projects eligible for financial backing
The initiative‚ which was first introduced roughly 9 months ago aims to boost the struggling real estate market and improve home-buyer confidence. Under the expanded program bank lending for these developments is set to reach 4 trillion yuan (thats about $562 billion)
As of two weeks ago‚ financial institutions had given the green light to 5‚392 projects on the white list. The total financing for these developments has nearly hit 1.4 trillion yuan – a significant portion of the new target
The white list system allows certain housing projects to receive additional funding‚ helping to address concerns in the property sector. By increasing available financing‚ the government hopes to:
- Stabilize the real estate market
- Boost home-buyer sentiment
- Support ongoing construction projects
This move comes as China continues to grapple with challenges in its property sector – a key driver of economic growth in recent years