Potential home buyers are considering property models in Huai'an City, Jiangsu Province. [Photo by Chen Liang/For China Daily]
If Chinese housing companies become bankrupt or unable to operate, they must file for bankruptcy or restructuring in accordance with the country's laws and market rules, and companies that continue to act against the people's interests will be punished, a senior official said Saturday. stated.
Minister of Housing and Urban-Rural Development Nihong said that China will strengthen efforts to build a new development model for real estate, solve the difficulties faced by the market, and promote healthy and steady development.
Nee made the remarks at a press conference held on the sidelines of both sessions, the annual meetings of the nation's top legislative and political advisory body.
The minister said China will effectively allocate human resources, housing, land and financial resources. He added that the people's demands should form the basis of the country's housing plan, which would be used to plan the use of land and funds.
He also highlighted efforts to improve housing through government subsidies and focused on finding new ways to increase the number of such homes sold. This is a major move to improve the country's housing regulation and provision system.
Despite being in a period of transition, China's real estate sector still enjoys great potential and room for development in the medium to long term. Currently, more than 30 billion square meters of urban housing in the country is awaiting renovation and restoration, Ni added.
Experts said they still see great potential in China's real estate sector and are hopeful that new government measures will help bring the sluggish market back on track.
Zhou Maohua, macroeconomic researcher at China Everbright Bank, said that the rational allocation of real estate resources will promote the healthy and stable development of China's housing market.
“It will also greatly contribute to the financing, sales and efficient use of land in this field,” Zhou said.
Wang Xingping, senior corporate analyst at rating agency Fitch Bohua, said the country's real estate sector is expected to recover gradually this year.
Wang said that the decline in investment in this sector is very likely to slow down, and housing demand will expand as people's income increases.
Minister Ni also said that China is poised to steadily advance its urban renewal process this year, with about 50,000 old urban housing complexes scheduled to be renovated. These residential complexes will have elevators, parking, disabled facilities and elderly care facilities.
He said the country plans to renovate more than 100,000 kilometers of aging underground pipelines this year and leverage digital means to enhance real-time monitoring of major urban facilities.
Hou Liqiang Contributed to this story.
