China urges banks to avoid housing speculation to curb Evergrande riskChina's central bank has urged banks to steady the housing market and stressed that 'houses are for living, not speculation'. (AFP photo)BEIJING: China has urged banks to steady the housing market and avoid speculation as fears mount that Evergrande's debt crisis could spill over into the property sector. Saddled with more than $300 billion in liabilities that it is struggling to repay, the Chinese property developer's potential collapse poses systemic risks for the national and global economy. Beijing has so far been reluctant to bail out the conglomerate, but Chinese media reported that the Shenzhen government has begun an investigation into Evergrande's investment arm. Shenzhen's financial regulator said in a Monday letter to investors that a "thorough investigation" was being carried out after collecting information about Evergrande Wealth, Chinese media reported this week.
