Chinese Developers Face Tighter Financing, Local Curbs, S&P Says
This article is for subscribers only.
Chinese developers face risks such as narrowing financing channels and more property tightening measures by local governments this year, according to Standard & Poor’s.
Developers’ balance sheets and access to funding are likely to weaken in 2014, while big cities including Beijing and Shanghai may impose further curbs if prices rise too fast, S&P Hong Kong-based analyst Bei Fu said on a conference call today. The credit-rating company maintained a stable outlook for the sector, though said developers that overly expanded in the past 18 months could be downgraded.