Zhinews of Shenzhen Satellite TV:

The Ministry of Finance previously announced policies to support land reserves through special bonds and government-subsidized housing via the purchase of existing housing stock. Could you provide details on the measures and considerations involved? Thank you.

Song Qichao:

Thank you for your question. To promote the stable and healthy development of the real estate market, the Ministry of Finance will coordinate with relevant departments to implement policies utilizing special bonds for land reserves and the acquisition of existing commercial housing. These two policies are designed to address key challenges in the real estate market. They not only help stabilize and revitalize the real estate market, but are also crucial for implementing the decisions made at the third plenary session of the 20th CPC Central Committee, expanding the scope of special bond support and their use as project capital. These measures help promote a balance between supply and demand in the land market, and alleviate liquidity and debt pressures for local governments and real estate enterprises, increasing the sources of government-subsidized housing and ultimately enhancing people's well-being.

Regarding the specific implementation of using special bonds for land reserves, the focus is on supporting regions to determine reasonable acquisition prices in collaboration with existing land owners based on the actual circumstances. This involves handling the debt relationships associated with acquiring existing land, appropriately defining the content and scope of special bond projects, and promptly arranging bond issuance and expenditures. The aim is to enhance the efficiency of land resource utilization and the effectiveness of bond fund utilization.

The policy of supporting local governments to effectively use special bonds to purchase existing commercial housing as government-subsidized housing primarily involves independent and voluntary decisions by local authorities, following the principles of the rule of law and operating in a market-oriented manner. While ensuring the balance of project financing returns, local governments can use special bonds to purchase existing commercial housing as government-subsidized housing. This policy will complement other relevant support measures to further diversify local funding sources, effectively clearing existing inventory to promote supply-demand balance, and optimizing new additions by gathering resources through multiple channels for government-subsidized housing.

Looking ahead, we will work with relevant departments to finalize the specific rules and requirements of the policies to expedite their implementation. Thank you.