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Sunday, May 26, 2024

China’s Housing Rescue Has a Poor Track Record in Pilot Cities

 

  • Beijing’s big push follows trial runs that made slow progress
  • Low rental incomes and debt worries were among key obstacles

China’s big housing rescue aims to build on smaller efforts that are already under way – and struggling to get traction.

The People’s Bank of China this month unveiled $42 billion of funding to help local governments buy excess inventory from developers. Pilot programs on similar lines have been operating last year in eight cities, but they’ve had limited effect in stabilizing property markets, and apparently managed to deploy only a fraction of the allocated funds.

https://www.bloomberg.com/news/articles/2024-05-26/china-s-housing-rescue-has-a-poor-track-record-in-pilot-cities

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