China's property troubles aren't getting better, intensifying calls for bolder policy help
Publishing timestamp: 2023-08-17 23:45:20
Summary
The article discusses the decline in new home sales for top developers in China, with sales dropping by about a third in June and July compared to the previous year. The bankruptcy filing of Evergrande and the looming default of Country Garden have shaken investor confidence and raised contagion fears in the Chinese property sector. The article highlights the urgent need for policymakers to support the industry and the potential cash flow issues for developers due to weak new home sales. The article also mentions China's "three red lines" policy and the challenges faced by Country Garden, particularly in lower-tier cities. State-owned developers are better positioned than non-state ones, and there is a need for timely policy to stabilize demand and sales in higher-tier cities.
Sentiment: NEGATIVE
Keywords: market insider, business news, real estate, markets, corporate bonds, economic events, stock markets, china evergrande group, country garden holdings co ltd, china,