China Everbright Bank (6818) has approved over 10.75 billion yuan (HK$11.73 billion) in credit for residential projects that have been listed by local governments as suitable for loans. Under a so-called "whitelists" mechanism, residential projects on the lists could receive more financial support as local governments gear up recommendations of such projects to banks. Developers such as Country Garden (2007), Sunac China (1918), and Kaisa (1638) have projects on such lists. China aims to increase financing for residential projects but banks' reluctance to lend to the sector is a major obstacle for distressed developers most in need of funds. Everbright said yesterday that its 29 branches had obtained the white list of projects and approved 20 percent of them for credit amounting to 10.75 billion yuan.

Source: The Standard February 09, 2024 14:57 UTC