China to expand white list mechanism to stabilize property sector

BEIJING, Oct. 9 (Xinhua) — China will expand its “white list” mechanism to ensure that all eligible property projects have access to financial support.
Financial institutions are required to timely disburse loans to eligible property projects and meet their reasonable financing needs, according a meeting recently held by the Ministry of Housing and Urban-Rural Development and the National Financial Regulatory Administration.
The meeting also stressed the need to ensure the delivery of homes, calling on local authorities to “adopt strong and effective measures to stabilize the real estate market and halt the decline in prices.”
Ensuring the delivery of homes is an important task in promoting the stable and healthy development of the real estate market. It is a concrete action that adheres to the people-centered development philosophy and responds to the concerns of the public. It is also a strong measure to prevent and resolve real estate risks and to promote the market’s stabilization and recovery, said the meeting.
Under the “white list” mechanism launched in late January, local authorities are recommending real estate projects eligible for financial support to financial institutions.
The mechanism is part of China’s efforts to stabilize the sector weighed by debt problems and boost confidence in an industry that accounts for nearly 6 percent of the country’s GDP, according to the National Bureau of Statistics. ■