Though the majority of people consider that only the US real estate sector is worst affected owing to existent downturn, it is not true. The real state sectors of other countries are also affected and the tentacles of the downturn have reached the shores of Asia too. One of the premier and affected countries is China, which is a major claimant of the tag “superpower.” It is said that the drastic effects of recession have also ravaged the real estate sector of China and there is the need of several years to get rid of this.
However the leadership of China is not ready to give up so easily or bow down before the brunt of the slump. This has become evident from the recent statement of the country’s Premier Wen Jiabao. Wen Jiabao made it very clearly that each and every apposite measure will be taken towards the stabilization of the real estate market’s conviction along with the promotion of the “orderly development” of the industry. The remarks were made by the Chinese Premier in the government work report delivered to almost 3,000 lawmakers at the annual session of the National People’s Congress, the country’s top legislature.
It has been learnt that had been strong scepticisms in the Chinese society regarding the approaches of the government to revitalize its disconsolate real estate sector. Nevertheless the emphatic statement of the Chinese Premier cleared all confusions. He said, “We will adopt even more vigorous and effective policies and measures to stabilize market confidence and expectations, keep real estate investment stable, and promote steady and orderly development of the real estate industry.”
What is the budget then? According to information, the government plans to make 43 billion yuan (about 6.28 billion U.S. dollars) in its 2009 budget to build low-rent houses for poor families.
On the other hand, government will also “strive to solve the housing problems of 7.5 million low-income urban families and 2.4 million families living in shantytowns in forests, on reclaimed land and around coal mines within three years.”
0 Responses
Stay in touch with the conversation, subscribe to the RSS feed for comments on this post.