According to Liu Mingkang, chairman of the China Banking Regulatory Commission, from now on banks are allowed to extend loans to property developers with ongoing commercial or residential properties as collateral, instead of just "a stretch of land." He also urged bankers to communicate face to face with real estate developers and carry out field inspections before providing loans.
In February, housing prices in 70 large- and medium-sized Chinese cities rose 10.7% from a year earlier, the fastest pace in almost two years, according to the National Bureau of Statistics earlier this month.
English News.cn reports the Chinese government has taken a series of measures to cool down surging housing prices amid worries about possible asset bubbles.