China expands access to loans for property developers, acting to end its prolonged debt crisis

By ELAINE KURTENBACH
AP Business Writer

BANGKOK (AP) — China’s central bank has announced new rules meant to expand access to commercial bank loans for property developers. Real estate companies will be allowed to use bank loans pledged against commercial properties such as offices and shopping malls to repay their other loans and bonds. The policies were announced late Wednesday by the People’s Bank of China and the National Financial Regulatory Administration. The loans cannot be used to buy commercial housing or rental housing or to start new construction or buy land. Beijing has moved this week to stabilize ailing financial markets and boost the economy by freeing up more money for lending in various ways. That includes cutting required bank reserves.