Lenders asked to reclaim loans on unused plotsBy Crystal Hsu / Staff reporterThe central bank yesterday asked local lenders and cooperatives to reclaim loans and raise interest rates on loans involving land plots where construction has not started 18 months or more after purchase, citing the need to curb land hoarding. Central Bank Governor Yang Chin-long speaks at a news conference in Taipei on Dec. 16 last year. Lenders should reclaim loans on long-idle plots and raise interest rates on borrowers unless they have compelling reasons that make the delay necessary, the central bank said. The central bank said lenders must boost responsible lending by following up on land loans through on-site inspections and other measures to document construction progress. The central bank reiterated that it would closely monitor real-estate lending and the property market as a whole, and would, if necessary, introduce more restrictions.

Source: Taipei Times January 14, 2022 03:55 UTC