{"id":659,"date":"2024-03-12T17:46:26","date_gmt":"2024-03-12T09:46:26","guid":{"rendered":"https:\/\/www.ftpol.com\/en\/?p=659"},"modified":"2024-03-12T17:46:26","modified_gmt":"2024-03-12T09:46:26","slug":"hainan-refers-1st-batch-of-31-real-estate-financing-whitelist-projects-lending-rmb1-7b","status":"publish","type":"post","link":"https:\/\/www.ftpol.com\/en\/hainan-refers-1st-batch-of-31-real-estate-financing-whitelist-projects-lending-rmb1-7b.html","title":{"rendered":"Hainan Refers 1st Batch of 31 Real Estate Financing ‘Whitelist’ Projects, Lending RMB1.7B"},"content":{"rendered":"

To meet the reasonable financing needs of Chinese property developers of different ownership systems on a fair basis, Hainan Province referred the first batch of 31 real estate financing “whitelist” projects as of last Wednesday (6th), of which 17 projects completed the examination and approval and signed loan contracts, and the aggregate balance of RMB1.7 billion was disbursed for financing, China Real Estate Business quoted Hainan’s Ministry of Housing and Urban-Rural Development (MOHURD) and National Administration of Financial Regulation (NAFR).<\/p>\n

HONG KONG\/BEIJING, Feb 2 (Reuters) – China aims to ramp up financing for home projects in the coming days as part of its support measures, but banks’ reluctance to lend to the crisis-hit sector will remain a major obstacle for the distressed developers who need fresh funding the most.<\/div>\n
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Under the “project whitelist” mechanism, governments of 35 cities across the country are gearing up to recommend to banks residential projects that need financial support. Distressed developers are hoping the new mechanism will bring succor with some of their projects getting included in the whitelist.<\/div>\n
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The mechanism, which is designed to expedite issuance of project loans from banks, comes as Beijing steps up efforts to ease a liquidity squeeze in the sector and boost homebuyer confidence as new home prices in December saw\u00a0steepest drop\u00a0in nearly nine years.<\/div>\n
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But the success of the latest financing support measure could be stymied by banks’ reluctance to extend fresh credit to the struggling real estate firms due to worries about the impact on their asset quality, developers, bankers and analysts say.<\/div>\n
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But the success of the latest financing support measure could be stymied by banks’ reluctance to extend fresh credit to the struggling real estate firms due to worries about the impact on their asset quality, developers, bankers and analysts say.<\/p>\n

A corporate lending manager at a joint-stock bank said banks would prioritise risk controls under the new “Project Whitelist” mechanism rather than take “significant bad debts” onto their books.<\/p>\n

The preferred residential projects on the whitelists to receive financing support are expected to be mostly those that are under development by state-owned enterprises, considered a safer bet due to their deep pockets, said the manager, who declined to be named as he is not authorised to speak to media.<\/p>\n

Real estate development loans in the world’s second-largest economy grew 1.5% year-on-year to 12.88 trillion yuan ($1.8 trillion) at the end of 2023, versus 3.7% a year ago, data from the central bank showed.<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

To meet the reasonable fi<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"_links":{"self":[{"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/posts\/659"}],"collection":[{"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/comments?post=659"}],"version-history":[{"count":1,"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/posts\/659\/revisions"}],"predecessor-version":[{"id":660,"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/posts\/659\/revisions\/660"}],"wp:attachment":[{"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/media?parent=659"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/categories?post=659"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ftpol.com\/en\/wp-json\/wp\/v2\/tags?post=659"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}