Real estate investment in China fell by 10.3% y/y in January-October

Real estate investment in China fell by 10.3% year-on-year in January-October this year. This is reported by Reuters with reference to the National Bureau of Statistics (NBC).

Real estate sales by area decreased by 15.8% y/y over 10 months.

The volume of new construction by area in thші period decreased by 22.6% compared to the same period last year. The amount of funds raised by Chinese developers decreased by 19.2% y/y.

Government policies aimed at revitalizing the market since last year include lower borrowing costs and increased funding for struggling developers. However, despite these efforts, a significant recovery has not yet occurred.

NBC’s Fu Linghui reiterated China’s commitment to halt the decline in the real estate sector, announced at the end of September this year, and described the state of affairs in the industry as “actively improving.”

As GMK Center reported earlier, in October 2024, China’s steel companies increased steel production by 6.2% compared to the previous month and by 2.9% compared to October 2023, to 81.88 million tons. The October figure ended a four-month decline in the industry. This was driven by improved demand and market sentiment amid a recent surge in economic stimulus from Beijing. In January-October, production volumes decreased by 3% y/y.