Opinion | Cheap debt is not enough to get China’s homebuyers spending again
- Posted on October 12, 2026
- By South China Morning Post
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- 1 min read
China's real estate crisis extends beyond monetary policy solutions. While central banks have reduced borrowing costs, housing demand remains suppressed due to oversupply and eroded consumer confidence. Experts argue that policymakers must deploy substantial fiscal interventions to stabilize the property market, including government-backed purchases of excess inventory and comprehensive buyer confidence restoration programs. Simply lowering interest rates proves insufficient without addressing fundamental structural imbalances in China's housing sector.
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