China's top policymakers recently have stressed solving the issue of excessive housing inventory and experts believe it implies that the function of public housing fund will be strengthened and establishing the national housing bank may be put on the agenda, the Xinhua-run cnstock.com reported on Tuesday.
According to the earlier report of Economic Information Daily, China's State Council recently released a draft of the amended regulation on public housing fund, which gives green light to issuance of the public housing fund for personal housing loans backed securities, which is considered as a move to pave the way to set up the national housing bank.
Analysts say as the public housing fund system has shown some flaws and there have been voices of reform, establishing the national housing bank at this time against the background would help vitalize part of the idle public housing fund.
A housing bank can provide low-cost fund to relieve financing pressure for home buyers, thus helping reduce inventory, stabilize housing market and boosting housing demand, says Kang Junliang, an analyst at the China Real Estate Association.
"Although basic conditions for establishing the national housing bank have been created, it's still in the research stage," says Zhao Luxing, an analyst at the policy research center of the Ministry of Housing and Urban-Rural Development. He points out that the amended public housing fund regulation is not enough, and more top layer designs are required.
Latest comments