{"id":182727,"date":"2025-11-15T22:34:18","date_gmt":"2025-11-15T22:34:18","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/182727\/"},"modified":"2025-11-15T22:34:18","modified_gmt":"2025-11-15T22:34:18","slug":"chinas-property-slump-could-hinder-growth-5-more-years-ex-finance-minister","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/182727\/","title":{"rendered":"China\u2019s property slump could hinder growth 5 more years: ex-finance minister"},"content":{"rendered":"<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">The slump in China\u2019s property market has not yet bottomed out and will continue to be a drag on economic growth, former finance minister Lou Jiwei warned, calling for expansionary fiscal and monetary policies as well as structural reforms to counteract the sector\u2019s persistent headwinds.<\/p>\n<p>While Lou said real estate is unlikely to be a source of systemic risk \u2013 a source of concern after China\u2019s largest developers faced <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/economy\/china-economy\/article\/3321715\/4-years-after-evergrande-crash-chinese-families-are-still-stuck-broken-houses?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">rolling liquidity crises<\/a> that left many homebuyers without the flats they had paid for \u2013 he added the sector will continue to frustrate the country\u2019s growth picture as it undergoes a transformation that could last about five years.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">Policymakers have pushed to phase out the industry\u2019s controversial presale system and ensure home deliveries in recent years, but \u201cthe pace can be accelerated\u201d, Lou said at the 2025 Caixin Summit in Beijing on Friday.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">The downturn in the property market has dampened consumption growth and reinforced deflationary pressures, meaning \u201cexpansionary fiscal and monetary policy will be needed for some time\u201d, the former finance minister said.<\/p>\n<p>However, he emphasised that greater output and investment should not be the only target, calling instead for structural reforms, <a target=\"_self\" class=\"e1yy41x40 ef9u0v01 css-1ankfgb ecgc78b0\" href=\"https:\/\/www.scmp.com\/economy\/china-economy\/article\/3268754\/chinas-property-crisis-forces-local-hukou-reform-laying-groundwork-national-change?module=inline&amp;pgtype=article\" title=\"\" data-qa=\"BaseLink-renderAnchor-StyledAnchor\" rel=\"nofollow noopener\">particularly to the hukou<\/a> \u2013 the household registration system that restricts mobility and limits access to public services for rural migrants in cities.<\/p>\n<p datatype=\"p\" data-qa=\"Component-Component\" class=\"e8zc9q40 css-1c6uqr6 ec74h0k1\">By linking education, healthcare and pensions to the hukou, the system is widely regarded as a driver of disparities between urban and rural areas.<\/p>\n","protected":false},"excerpt":{"rendered":"The slump in China\u2019s property market has not yet bottomed out and will continue to be a drag&hellip;\n","protected":false},"author":2,"featured_media":182728,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[174],"tags":[1793,79,103059,381,103057,27165,2784,179,18,103053,103058,19,17,103054,103055,7338,103056,52020],"class_list":{"0":"post-182727","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-beijing","9":"tag-business","10":"tag-caixin-summit","11":"tag-china","12":"tag-chinas-property-market","13":"tag-deflationary-pressures","14":"tag-economic-growth","15":"tag-economy","16":"tag-eire","17":"tag-expansionary-fiscal-and-monetary-policies","18":"tag-hukou","19":"tag-ie","20":"tag-ireland","21":"tag-lou-jiwei","22":"tag-national-property-tax","23":"tag-property-market","24":"tag-rural-migrants","25":"tag-structural-reforms"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ie\/115556100769076401","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/182727","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=182727"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/182727\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/182728"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=182727"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=182727"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=182727"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}