Ganzhou City, located in Jiangxi Province, has recently released a notice outlining several measures aimed at promoting the steady and healthy development of the real estate market. The notice, titled “Notice of Ganzhou Municipal People’s Government Office on Several Measures to Further Promote the Steady and Healthy Development of the Real Estate Market,” was issued on August 4.
One of the key measures proposed in the notice is to meet the reasonable financing needs of real estate enterprises. The city plans to conscientiously implement the “16 Articles” of real estate finance, which focus on regulating and supporting the financing activities of real estate companies. As part of this effort, a white list of real estate companies will be formulated to identify and support high-quality enterprises in loan financing and bond issuance.
To provide credit enhancement support for bond issuers, the city authorities will encourage financial institutions to carry out pilot closed financing of real estate projects. This will involve implementing closed management of funds and offering preferential loans to support the financing needs of real estate projects.
Furthermore, the notice emphasizes the importance of financial institutions actively participating in the mergers and acquisitions of real estate enterprises’ risk disposal projects. The authorities will support financial institutions in providing mergers and acquisitions loans and financial services to facilitate these transactions. It is worth mentioning that the concentration management of real estate loans will not include mergers and acquisitions loans for risky and difficult real estate enterprise projects, at least for the time being.
These measures aim to promote responsible and sustainable development in the local real estate market. By providing support and credit enhancement, the city hopes to encourage the growth and stability of high-quality real estate enterprises while effectively managing financial risks.
The implementation of these measures will not only benefit real estate companies but also contribute to the overall economic development of Ganzhou City.