Chinese Banks Increasing Loans To Developers

Zheshang Bank, China Construction Bank, Bank of Communications and others have successively held meetings with major real-estate companies to understand better their financing needs, fueling market expectations of a fresh round of support policies, Yicai.com reported. Authorities have not issued an official "white list" or ordered banks to increase their proportion of real-estate loans, the newspaper said citing an unnamed source from a local branch of a major state-owned bank. However, market discussion has centered on banks being required to match their real-estate loan growth with the industry average, while the growth of lending to private developers, including corporate loans and mortgages, should not fall lower than overall lending growth to the sector.