top of page
Long-time Chief Executive Officer Ben Silbermann of Pinterest would step down, handing over the reins of the social media platform to Google...

Stock Market

Google executive to take over as a new CEO of Pinterest

Top accounting firm Ernst & Young has been slammed with a record $100 million fine from the US government...

Stock Market

Accounting firm gets 100 million fine for faulty regulations

The Indian rupee slipped into a fresh low today and extended losses against the US dollar.


The rupee tumbled to a new low against the dollar in the midst of an increase in crude oil price

Wall Street saw a sharp fall at its closing in a broad sell-off. Consumers' worries over recession have sparked up...

Stock Market

Wall Street Lose Balance after recession strikes growth fear among consumers’

Soaring inflation may be pushing the US economy into a deep recession. Last week's 0.75% interest rate hike by the Federal Reserve...

Stock Market

Inflation ringing the recession bell - Mohammed Shaheen


11 Oct 2021

Harbin to Provide Support to Property Developers; Morgan Stanley Insights

The Index Today

Harbin has announced new measures to support property development in the area, making it one of the first cities in China to ease the property debt crisis after the Evergrande fiasco.

Property developers can relieve some of their cash flow problems as the government of Harbin will allow them to take back some of the presale funds held in escrow accounts. Developers who already have stable credit profiles can now continue presale activities if possible.

China’s property market has been in decline due to recent events. This has led to many property developers to halt projects or even offer discounted sales prices. Director of Shanghai-based E-house China Research and Development Institution, Yan Yuejin said that he expects other main cities to follow the footsteps of Harbin, “Those under great pressure from high inventories, including some tier-three and four cities in central and western regions.”

Alongside Harbin, other positive news has come from Morgan Stanley after it categorized China’s property market as “attractive” after it was previously labeled as “in-line”. The nation’s property market accounts for almost one fourth of the total GDP. Many developers in the region have not been able to complete projects due to poor cash flow and borrowing caps.

The Evergrande crisis has only made the market weaker after a debt of $300 billion along with missed interest payments weighed on investors. According to the analysis conducted by Morgan Stanley, “Debt restructuring will also be done at the holding company level, while the operating companies or property projects will remain in operation during the restructuring with the support of regulars and local governments.”

Harbin will further provide subsidies for local residents who wish to buy homes as long as their show proof of talent, skill and qualifications. Morgan Stanley further said, “If policymakers were to make statements about assuring property projects completion and supporting restructure, it could alleviate concerns from home buyers and the financial system.” On Monday, Chinese real estate and bank subindexes went up over 2.2% in comparison to a flat market.

©Photo: pawelpaniczko

Clay pottery with table linens
bottom of page