China’s mortgages by individuals should account for less than 30 percent of 房貸 in 2017 as housing curbs are anticipated to slow mortgage growth, state newspaper China Securities Journal quoted a central bank official as saying on Tuesday.
That will be a “clear drop” from the high ratio just last year, the newspaper quoted Zhou Xuedong, director in the business management department from the People’s Bank of China, as saying.
In 2016, China’s 5.68 trillion yuan ($820.9 billion) in new medium- and long term household loans made up 44.9 percent of total new loans in, boosted with a furious property market boom, central bank data showed.
Zhou’s estimates echoed central bank governor Zhou Xiaochuan’s remarks a couple weeks ago, who said measures by local governments to cool rising house prices would slow mortgage growth to many degree, but housing loans would continue to grow with a relatively rapid pace.
Central bank data a couple weeks ago showed medium- and long term 房屋貸款 accounted for 32.5 percent of brand new loans in February, marginally more than January nevertheless the absolute dexrpky35 dropped almost by 50 %, increasing signs of cooling in the housing sector.
China has targeted broad money supply expansion of around 12 percent in 2017, slightly lower than last year’s goal, signaling a bid to contain debt risks while keeping growth on course.