China Seeks to Stem Mortgage Boycott With Developer Loans
- Regulator asks banks to step up lending to finish projects
- Mortgage boycott threatens to extend housing crisis to banks
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China’s bank and property stocks rose after regulators sought to defuse a growing consumer boycott of mortgage payments by urging banks to increase lending to developers so they can complete unfinished housing projects.
The guidance from the China Banking and Insurance Regulatory Commission was issued in response to the boycotts and is aimed at expediting the delivery of homes to buyers, a newspaper published by the watchdog reported Sunday, citing an unidentified senior official at the agency.