China’s property investment dropped 8.8% for the first ten months from a year earlier, further down from an 8.0% decline for the first nine months this year.

Reuters cited official data from China’s National Bureau of Statistics (NBS), saying that real estate sales by floor area fell 22.3% for the January-October period from a year ago.

The country’s new construction by floor area plunged 37.8% in the first ten months compared with a 38% drop in the first nine months.

The ongoing property crisis and strict COVID measures are key hindrances for the Chinese economy.  

As the real estate market has been in a deep crisis with no sign of recovery for a long time, the Chinese regime reportedly plans to bail out the distressed sector.

According to Bloomberg, China on Sunday unveiled the most extensive rescue package so far to bail out the property market.

Citing sources familiar with the matter, Bloomberg revealed that the sweeping package includes 16 measures. They would help local developers handle their liquidity crisis and loosen down-payment requirements for house buyers, among others.

Earlier, the regime had offered measures to rescue the real estate market. In August, it said it would issue $29 billion special loans for troubled developers to complete unfinished projects to deliver homes to homebuyers. 

In September, it also told the country’s biggest state-owned banks to provide $85 billion for property funding.  

China’s property market has plunged after the communist regime began clamping down on real estate leverage in 2020, targeting the developers relying heavily on debt for growth.

The crackdown has led the mainland’s real estate sector to fall into a debt crisis.

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