Chinese authorities are reportedly extending support to the Chinese real estate sector as outlook for the following year looks bleak.
According to Bloomberg, President Xi Jinping oversaw a meeting on Monday which signaled easing on restriction of fund to the real estate sector. The move came amid liquidity crunch in the Chinese real estate sector that saw credit ratings cut drastically in the bond market.
The People’s Bank of China also on Monday said it will cut down reserve requirement ratio by 0.5 percentage points essentially releasing 1.2 trillion yuan of liquidity in to the financial market.
