China Will Restrict Foreign Investment In High-End Hotels, Villas And High-Grade Office Buildings.

The newly issued catalogue of foreign investment industry guidance issued by China shows that the real estate industry has been included in the catalogue of foreign investment industries.

Despite the enthusiasm of foreign investors in China's real estate market, China issued a new version of the directory of foreign investment industry guidance, which shows that the real estate industry has been included in the list of foreign investment industries.

The seven edition of the national development and Reform Commission released the new edition of the directory of foreign investment industry guidance.

According to the new catalogue, the land is developed into blocks; the construction and operation of high-end hotels, villas, high-grade office buildings and international convention and exhibition centers; the two level market paction of real estate and the catalogue of foreign investment industries restricted by real estate agents or brokerage firms.

In fact, China's Ministry of construction and other ministries and commissions have already issued the "restriction order" of real estate industry. However, due to factors such as appreciation of the renminbi, the pace of overseas hot money investment in China's real estate industry has not slowed down significantly.

According to data from the National Bureau of statistics, from January to September this year, China completed more than 1. 6 trillion yuan investment in real estate development, and the source of real estate development enterprises was about two point five four trillion yuan, of which, the utilization of foreign capital was forty-two billion and three hundred million yuan, an increase of more than 60% yuan.

The high housing prices in Beijing, Shenzhen and other first tier cities have made public opinion more aware of the negative impact of foreign investment on China's real estate industry.

Market analysts believe that the real estate industry has been included in the list of foreign investment industries, which will have a positive effect on curbing the high prices of some cities.

The new catalogue also stipulates that the proportion of foreign investment in life insurance companies is not more than fifty percent; the securities companies (limited to underwriting, B-shares and H-shares and underwriting and trading of government and corporate bonds) and foreign capital ratios are not more than 1/3; and the ratio of foreign investment funds management companies to foreign capital is not more than forty-nine percent, A.

The construction and operation of the golf course, gambling industry, weapons and ammunition manufacturing were included in the list of prohibited foreign investment industries.