WSJ: China Banking Regulator Sees Risk From ‘Bubble’ in Real-Estate Prices
Tue March, 2021, Age: 3 years
The chairman of the China Banking and Insurance Regulatory Commission, Guo Shuqing, spoke with reporters about his concern over rising risks posed by the country’s property sector. Mr. Guo also voiced his concern over broader international market’s stability. But his chief worry was what he referred to as a “bubble” in Chinese real estate prices. “Many people buy homes not to live in, but to invest or speculate. This is very dangerous.” Any significant fall in home prices would devastate home owners and imperil the ability of banks to collect mortgage payment.