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Some Chinese local governments owe private property developers 1 billion – 2 billion yuan each in unpaid bills, the Economic Observer reports, citing executives at developers.
The outstanding amounts owed to the property firms include tax rebates and promised reimbursement of land sale fees, the report said.
Districts and counties in cities including Zhengzhou in the central province of Henan recently asked private real-estate firms to submit details of the debt owed to them by the government.
That came after developers urged local authorities in the past year to make repayment to ease their liquidity crunch and ensure housing projects are completed and delivered.
The Economic Observer said company representatives spoke on the issue during recent round-table conferences with authorities, including the housing ministry, the central bank and governments in major cities.