With its first important lending rate reduction since June, China increases funding for real estate.

With its first important lending rate reduction since June, China increases funding for real estate.
With its first important lending rate reduction since June, China increases funding for real estate.
With its first important lending rate reduction since June, China increases funding for real estate.

Every month, China determines its loan prime rates based on the rates that twenty approved commercial lenders submit to the People’s Bank of China. Typically, these loan prime rates fluctuate in lockstep with the PBOC’s medium-term policy rate, which held steady for February on Sunday.

Beginning on February 5, China lowered the reserve ratio requirements for its banks by 50 basis points, supplying 1 trillion yuan ($139.8 billion) in long-term capital and pressuring banks to back loans to reputable real estate developers.

Following Beijing’s 2020 crackdown on developers’ excessive reliance on debt for growth, which resulted in the bankruptcy of some of the country’s biggest real estate developers and hampered consumer and overall economic growth in the second-largest economy in the world, the property market collapsed.

With its first important lending rate reduction since June, China increases funding for real estate.
With its first important lending rate reduction since June, China increases funding for real estate.

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By flymultimediaghana

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