Chinese Vice Premier He Lifeng has called for an expansion of the property support mechanism to stabilize the housing market and bolster the broader economy. During a recent visit to Taiyuan and Xi’an, He emphasized the importance of timely home deliveries and increased financial support for real estate projects under the “white list” mechanism.
He, a member of the Political Bureau of the Communist Party of China Central Committee, highlighted the real estate sector’s pivotal role as a barometer for economic health. “A robust property market is vital for sustained economic recovery and protecting the interests of the people,” He stated.
Initiated in January, the “white list” mechanism allows local governments to select high-quality real estate projects and present them to commercial banks. These banks then evaluate and decide on providing financial support, including credit, debt, and equity financing, based on specific criteria.
He urged for the maximization of these financial coordination mechanisms, encouraging financial institutions to enhance the efficiency of credit approvals and loan disbursements. Accelerating the resolution of problematic projects to meet “white list” criteria was also a key focus.
To ensure the quality and timely delivery of homes, He advocated for expanding support to include all qualifying commercial housing projects currently under construction and sold. He underscored the necessity of securing funding for ongoing project construction.
Additionally, He called for advancing the acquisition of existing commercial housing to be used as affordable housing. He stressed the effective implementation of the affordable housing re-lending policy to help reduce inventory in the commercial housing market.
During his visit, He also toured large supermarkets in Taiyuan and key foreign trade enterprises in Xi’an to gather insights on trade-in programs for consumer goods and the export situations of enterprises.
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Chinese vice premier urges expansion of property support mechanism
cgtn.com
