China Plans $137 Billion Injection to Bolster Housing Market

Funds to be Distributed in Phases Through Policy Banks, Amid Concerns Over Health of Property Market

China plans to provide at least 1 trillion yuan ($137 billion) of low-cost financing to the nation’s urban village renovation and affordable housing programs.
The People’s Bank of China will inject funds in phases through policy banks with the money ultimately trickling down to households for home purchases.
The plan, part of a new initiative by Vice Premier He Lifeng, aims to shore up the struggling property market.
Market concerns are mounting over the financial health of the nation’s largest developers after several of them have fallen into default.
The final amount of the new funding is subject to change.