Investment in Chinese real estate
climbed by 35.2 per cent in the first two months of 2011 compared to the same period a year ago, new figures have shown.
This is despite a raft of new cooling measures being introduced by the government in late January which were designed to rein-in the red-hot market and ensure that housing inflation stayed in check.
According to statistics released by the National Bureau of Statistics, investment in property
in the country rose by 33.2 per cent over the course of the year, Reuters reports.
In an effort to counter the tightening measures, efforts to build more affordable housing have been stepped up in China. A mooted 1.3 trillion yuan is due to be invested this year to construct ten million affordable units, up from a target of 5.8 million units the previous year.
Indeed, amid the tightening campaign, many banks have scrapped mortgage rate discounts, on top of three interest rate rises since mid-October, making it more expensive for home buyers to borrow from banks.
- Tuesday 15 March 2011