Chinese property developers increase fund-raising on interbank bond market

BEIJING -- Chinese property developers have increased fundraising on the interbank bond market, data from a market dealer group showed.

Nearly 10 developers including Poly Development and PowerChina Real Estate have issued debt financing instruments (DFIs) worth 11.9 billion yuan ($1.78 billion) on the market this month, with 49.5 billion yuan of DFIs by more enterprises in the pipeline, according to the National Association of Financial Market Institutional Investors.

Given increasing downward pressures on the property sector, authorities have rolled out a raft of supportive policies to help cash-strapped developers meet their financing demand since the fourth quarter of 2021.

Commercial banks have also been encouraged to reasonably make property development loans and in particular support quality projects in difficulties.

Since the beginning of this year, 70 real estate enterprises have issued DFIs worth 147.5 billion yuan in the interbank market, with net financing at 45.4 billion yuan, data from the association showed.