Henen province hastily reversed a proposal to ease local curbs on the housing market, an indication of continuing tensions between Beijing and local governments over property policies, The Wall Street Journal reported. The provincial government on Wednesday removed a report it had posted on its website two days earlier, which directed banks to extend discounts of up to 30% on the benchmark lending rate for mortgages to first-time home buyers. An unnamed source from the Henan office of China’s banking regulator said that the easing measures weren’t in line with the central government’s policy, according to a report by the 21st Century Business Herald. Local governments, which depend on land sales for their revenue, have tried to find ways to push back against central restrictions on property, including offering tax incentives to home buyers.
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