MNI China Press Digest July 1: Financial Bond, Property Market

The following lists highlights from Chinese press reports on Friday:

• China will raise CNY300 billion through the issuance of financial bonds to replenish capital for major projects to expand effective investment to boost employment and consumption, according to a statement on the gov website following the State Council executive meeting chaired by Premier Li Keqiang. The central government will provide appropriate interest discounts for two years, and guide financial institutions to increase financing support, the meeting said. China will kick off a batch of transportation projects including national expressways and inland river transport channels this year, the meeting said.
• China’s property market is expected to gradually stabilise in the second half of the year, with first- and second-tier cities improve while third- and fourth-tier cities digest high inventories, the 21st Century Business Herald reported citing analysts. Housing transactions in cities in Yangtze River Delta such as Shanghai, Hangzhou and Hefei are likely to turn positive in H2, the newspaper said citing analysts. The average sales of the Top 100 developers was CNY35.64 billion in H1, decreasing 48.6% y/y, and there are nine developers in the 100-billion-yuan camp, compared to 19 same period last year, the newspaper said citing data by China Index Academy.