China Banking and Insurance Regulatory Commission： The growth rate of bank real estate loans hit an eight-year low.

　　On June 1st, China Banking Regulatory Commission held a press conference to introduce the recent progress of key regulatory work. Liang Tao, vice chairman of China Banking and Insurance Regulatory Commission, said that by the end of April, real estate loans in the banking industry had increased by 10.5% year-on-year, with the growth rate hitting an eight-year low. The balance of real estate trust and the scale of wealth management products invested in real estate also continued to decline, among which the scale of wealth management products invested in non-standard real estate assets decreased by 36% year-on-year.

　　On December 26th last year, the People’s Bank of China and China Banking and Insurance Regulatory Commission jointly issued the Notice on Establishing the Management System for the Concentration of Real Estate Loans in Banking Financial Institutions, distinguishing different types of banks, and putting forward regulatory requirements for the concentration of real estate loans and individual housing loans respectively. Liu Zhongrui, deputy director of China Banking and Insurance Regulatory Commission Communications Department, said that from the current implementation situation, the effect of the implementation of the real estate loan concentration management system has initially appeared. By the end of April, the concentration of real estate loans of banking financial institutions had decreased by 0.5 percentage points year-on-year, and all six large state-owned banks had achieved a decrease in concentration, and the concentration of other banks also showed a downward trend in general.

　　"But in the process of implementation, some new problems have also been found. Some local small and medium-sized banks took advantage of the opportunity of the withdrawal of large banks to compete for the market share of real estate loans. Real estate loans grew rapidly and the concentration of real estate loans increased. " Liu Zhongrui emphasized that China Banking and Insurance Regulatory Commission attaches great importance to this issue, implements list management for banks with a relatively high proportion of new real estate loans, and urges these banks to implement real estate financial regulation requirements and reasonably control the growth rate of real estate loans. If the rectification within a time limit is not in place, more stringent regulatory measures will be further taken.

　　China Banking and Insurance Regulatory Commission is not "one size fits all" when it comes to reducing real estate loans. According to Liang Tao, we will provide differentiated support to those just in need in terms of loan down payment ratio and interest rate, increase financial support to the housing rental market, and promote the stable and healthy development of the real estate market. As of the end of April, among the personal mortgage loans issued by the banking industry, the first suite accounted for 91.8%, up 0.8 percentage points year-on-year. Loans to the housing rental market increased by 31% year-on-year.

　　Liang Tao said that in the next step, China Banking and Insurance Regulatory Commission will continue to implement the long-term mechanism of the CPC Central Committee and the State Council for real estate regulation and control, adhere to the positioning of "houses are used for living, not for speculation", maintain the continuity and stability of real estate financial supervision policies, avoid the ups and downs of housing prices, and promote the stable and healthy development of the real estate market. At the same time, maintain a high-pressure situation against illegal business, prevent and resolve the risks of real estate business, and prevent the resurgence of chaos. Continue to support the development of the housing rental market and provide more targeted financial products and services. Strengthen the cooperation with relevant departments, form a joint force to promote the stable and healthy development of the real estate market, and realize the policy goal of "stabilizing land prices, housing prices and expectations".