Pan Gongsheng, deputy governor of the PBOC, on Thursday paid a visit to the China Bond Insurance Co. Ltd, according to information on the website of the National Association of Financial Market Institutional Investors, a self-regulatory body under the PBOC.
Pan told China Bond Insurance to stick with the policy stance that “housing is for living, not for speculation,” innovate credit-enhancing products and models, step up support to bond issuance by private property developer, do a good work in serving the real economy, prevent and control financial risks and deepen financial reforms, said Pan.
Earlier this year, Chinese regulators instructed state-owned China Bond Insurance to provide guarantees for onshore bond issuance by a few private property developers including Longfor Group and CIFI Holdings in a move to help ease the cash crunch faced by the struggling sector. Related…
Recently, it’s reported that several property developers including Longfor Group and County Garden are planning another round of onshore bond issuance with guarantee in full amount by China Bond Insurance.
Seazen Holdings plans to issue 1.5 billion yuan of onshore bond with guarantee in full amount and CIFI Holdings considers issuing no more than 1 billion yuan of onshore bonds with such guarantee. Developers including Radiance Group and KWG Group are also considering the type of bond issuance. Read more …