Shanghai mayor Ying Yong rules out easing control on home prices even as economy slows down
- Controlling prices of land and homes is not a makeshift policy, mayor Ying Yong says after the annual session of Shanghai People’s Congress
Shanghai’s mayor Ying Yong said on Thursday that he will do everything in his power to stabilise the housing market, ending speculation that the city would loosen its grip on the sector as it faced an uphill task of sustaining growth amid fears of a slowing economy.
“We must bear in mind that controlling prices of land and homes is not a makeshift policy,” the mayor told a press conference after the close of the annual session of Shanghai People’s Congress. “We will stand firm in stabilising the property market and ensure reasonable pricing on land and homes so that the price movements will be in line with our expectations.”
On Sunday, Shanghai set itself a growth target of 6 per cent to 6.5 per cent in 2019, down from last year’s 6.5 per cent.
It is expected to be the slowest growth since 1990 when the city’s gross domestic product expanded 3.5 per cent.
Property used to be a key driver for China’s urban areas and local government would roll out incentives to bolster construction and stimulate home purchases to underpin economies when there were signs of slowdown.