Equities and bonds of Chinese property developers gained on Thursday and hopes for government funding squeeze eases and measures of liquidity boosts finds confidence in the market.
China on Thursday in an unexpected move lower borrowing costs of its medium-term loans for the first time since 2014. It has also cut is benchmark lending rates for corporate and household loans for the second straight month.
Reuters citing sources in a report said, policymakers are formulating nationwide rules to make it easier for developers to access funds from sales that are still held in escrow accounts.
These escrow accounts are controlled by municipal governments, with no central oversight, and withdrawals have been tightened in the wake of the liquidity crunch in the sector.
