China may limit real estate trust financing

From the International Herald Tribune today: “China’s banking regulator on Wednesday proposed curbs on lending and investments by trust companies, seeking to slow growth and reduce risks after property prices rose at their fastest pace in eight years.

Trust companies will need approval from the China Banking Regulatory Commission to set up real estate trusts, the regulator said in rules published for public consultation on its Web site. ”

The full article is here.

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