China Mulls Asking Firms Run by Central Government to Buy Homes

The Chinese government is considering a new initiative to address the country's ongoing property market crisis. According to sources, the plan involves mobilizing state-owned enterprises (SOEs) run by the central government in Beijing to purchase unsold homes from struggling property developers. This move comes after a previous effort that relied on local governments had limited success. The new initiative aims to provide a more coordinated and centralized approach to tackling the issue. The property market in China has been facing significant challenges, with developers struggling to sell homes and some even defaulting on their debt. The government's intervention through SOEs is seen as a way to stabilize the market and support the industry during this turbulent period. The details of the plan, including the scope and scale of the SOE involvement, are still being finalized. However, the government's willingness to take such a proactive approach underscores the importance it places on addressing the ongoing property market crisis in China.