Equity Analysis /
China

CN : Property - Overall - Strong policy to boost share prices

    Raymond Cheng
    Raymond Cheng

    Head of Hong Kong Research

    Contributors
    Steven MAK
    Will Chu
    CGS-CIMB
    25 March 2022
    Published by

    Led by the State Council and supported by PBOC, CBIRC, SAFE and MOF, China turns more firm on resolving property market risk. We expect regulators to have a series of collective measures in near future to support the property market, which could reduce developers’ default risk. Meanwhile, China also announced it will suspend expansion of the property tax pilot programme this year. Supportive policy should boost share prices. We like Longfor, CIFI, KWG. Developers with marginal liquidity risk should benefit more, such as Times, Logan, Shimao, Agile, Sunac.