China home price rise

Last year, in order to cool the property market, the government raise the bank reserve ratio and came

out the policy of controlling costumer buy house for investment. That has already shut many ordinary

buyers out of the market. It was found out that the current economy slowdown, because of the policies.

In the past few month, the People’s Bank of China has cut down the amount of bank reserve in order

to rerise the bank loan. For this aim, the central bank also cut its interest rates twice in the latter half of

this year.

According to the official figures, the demand of the housing increased in 35cities during the last month,

because of the relaxing restrictions and the decline of the interest rate and the bank reserve rate.

xlyshelia