China’s four largest lenders have committed to extending loans to support the mainland's ailing property market.
Agricultural Bank of China – the country’s third largest lender – has approved over 40 billion yuan ($5.6 billion) of loans for eligible property projects, according to a statement. The second largest lender, China Construction Bank, said it would extend 3 billion yuan to five property projects, alongside more than 20 billion yuan of approved loans in the pipeline.
The first and fourth largest lenders in the nation – ICBC and Bank of China – have also announced support for projects though they did not reveal the amount of extended or planned loans.
White List
The announcements by China’s «big four» banks come after Beijing called for support for the financing needs of developers. It also asked major banks to form a «white list» of eligible projects with beneficiaries that have included Country Garden and Sunac China.
Chinese authorities are intensifying efforts to calm the property downturn. In January, Evergrande – the world’s most indebted developer – was officially issued a liquidation order in Hong Kong.
