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China authorities curate funding list for property developers amidst growing default risks

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An ICYMI of reports that Chinese authorities are drafting a list of 50 real estate developers eligible for a range of funding.

Bloomberg had the info, citing unnamed people familiar with the matter.

  • list includes both private and state-owned real estate developers
  • the list will guide financial institutions in providing support for the sector via bank loans, debt and equity financing

Reuters followed up but said that the People’s Bank of China and the National Administration of Financial Regulation did not immediately respond to Reuters’ requests for comment.

If the chatter is accurate the boost to financing should help a little towards a sustainable economic recovery. The spiralling risks of default among private developers has threatened China’s financial and economic stability.

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