The central bank responds to the debt risk of Evergrande Group: the risks of individual phenomena in the real estate industry have controllable spillovers to the financial industry
On October 15, the relevant person in charge of the People’s Bank of China stated at the third quarter financial statistics press conference that the financial system insists on serving the real economy in a more prominent position, maintaining the steady growth of financial aggregates, and maintaining the overall economic situation. smooth.
In the first three quarters, the issuance of personal housing loans remained stable, and the growth rate of real estate development loans declined significantly.
Zou Lan, Director of the Financial Markets Department of the People's Bank of China, believes that the amount of personal housing loans granted basically matches the amount of commercial housing sales during the same period.
In a few cities, housing prices have risen too fast, personal housing loans are subject to some constraints, and the rate of housing price rises has been suppressed to a certain extent.
As housing prices stabilize, the supply-demand relationship of housing loans in these cities will return to normal.
Regarding the changes in real estate development loans, Zou Lan said that, on the one hand, due to the recent risk exposures of individual large-scale real estate companies, financial institutions’ risk appetite for the real estate industry has dropped significantly, and there has been a consistent contraction behavior; on the other hand, some financial institutions have There are some misunderstandings in the "third-line and four-tier" financing management rules, which prevent projects that should be reasonably supported from getting loans, and to a certain extent caused some real estate companies' capital chains to tighten.
In response to these circumstances, the People's Bank of China and the China Banking and Insurance Regulatory Commission have instructed major banks to accurately grasp and implement the real estate financial prudential management system to maintain the stable and orderly distribution of real estate credit.
In addition, affected by risk events such as the default of individual real estate companies' bonds, the price of USD bonds of overseas real estate companies has recently experienced a significant drop.
Zou Lan introduced that relevant departments have paid attention to and will urge bond-issuing companies and their shareholders to strictly abide by market discipline and rules, properly handle their own debt problems in accordance with the principles of marketization and rule of law, and actively perform statutory debt repayment obligations.
In Zou Lan's view, the problems of Evergrande Group are an isolated phenomenon in the real estate industry.
After the macro-control of real estate in recent years, especially after the establishment of a long-term real estate mechanism, the domestic real estate market has maintained stable land prices, housing prices, and expectations. Most real estate companies have stable operations and good financial indicators. The real estate industry is generally healthy.
Zou Lan revealed that the total assets of Evergrande Group exceed 2 trillion yuan, of which real estate development projects account for about 60%, involving more than 1,000 project subsidiaries as independent legal entities.
In recent years, this company has been poorly managed and failed to operate cautiously in accordance with changes in the market situation. Instead, it has blindly diversified and expanded, resulting in serious deterioration in its operations and finances, and eventually an outbreak of risks.
Of the total liabilities of Evergrande Group, financial liabilities are less than one-third, creditors are relatively dispersed, and individual financial institutions have little risk exposure.
On the whole, the risk of its spillover to the financial industry is controllable.
Zou Lan said that relevant departments and local governments are currently carrying out risk disposal and resolution work in accordance with the principles of marketization and rule of law, urging Evergrande Group to increase asset disposal, speed up the restoration of project construction, and safeguard the legitimate rights and interests of housing consumers.
In this process, the financial department will cooperate with the housing and urban-rural construction department and local governments to provide financial support for the resumption of the project.
Zou Lan emphasized that the People's Bank of China will adhere to the positioning of "no speculation in housing and housing", and will not use real estate as a short-term means of stimulating the economy, continue to implement a long-term real estate mechanism, and maintain the stable and healthy development of the real estate market.
Chengdu Commercial Daily-Red Star News reporters Deng Lingyao, Yang Yuqi, Wuyang Comprehensive Xinhua News Agency