bodyType

customContents

entityId

entityUuid

articlePageQuery

filter

article

articleBaseAdvertisingInfoArticle

articleListArticle

articleSeoArticle

hooksArticleAcknowledgementGateOverlayArticle

hooksTrackPageViewArticle

hooksContentInterestArticle

articleLinkingDataContent

hooksAmpRedirectArticle

articleSchemaContent

liveArticle

advertZone

sentiment

contentLock

topics

types

sections

paywallTypes

createdDate

publishedDate

sponsorType

urlAlias

moreOnThisArticles

commentCount

authorLocations

authors

corrections

displaySlideShow

multimediaEmbed

printHeadline

seriesContainer

articleSpeeches

socialHeadline

headline

images

flag

firstTopic

glossary

flattenTypeIds

image

relatedLinks

relatedNewsletters

__typename

sponsor

pdfFiles

seriesReverseOrder

series

disableOffPlatformContent

published

updatedDate

summary

subHeadline

body

keywords

readingTime

customTimezone

liveContents

Guangzhou's mayor has rejected criticisms that allowing state-owned enterprises to build affordable employee housing was a return to the pre-economic reform days of state-provided housing.

'The new policy is totally different from the old one,' Southern Metropolis News quoted Zhang Guangning  as saying in Beijing.

The policy, which was formulated last year and made public recently, allows SOEs with land banks to provide cheap housing when the government is  unable to meet  demand. It stipulates that  the enterprises should build  units smaller than 90 square metres.

Seven SOEs, including Guangzhou Iron & Steel Enterprises Group   and Guangzhou  Shipyard,  have received approvals.  The first offering of 750 units by GISEG has been sold out at an average price of 2,000 yuan per square metre, 40 per cent of the prices of neighbouring units.

Guangzhou's rate of increase in property prices was among the five fastest on the mainland last year.

The policy has attracted strong criticism in recent weeks from experts who  described it as a backwards step.

Property experts said   it would hurt social equality and they doubted the government's ability to supervise  transactions.

Guangdong Real Estate Association  president Cai Suisheng   told a professional forum   that the   policy might  encourage corruption.

'We do not believe government supervision can be successful,' Mr Cai said. 'In the past, the government could not supervise its own.  How can they monitor enterprises this time?'

A  government research institute poll on Thursday showed that 70 per cent of interviewees were worried that the policy would create corruption and social inequality.

The distribution of flats as part of welfare policy ended in 1998.



Mayor defends employee housing