(Update with analyst's comment)
BEIJING, Feb 20 (Reuters) - China has launched a pilot
scheme to boost private investment in the real estate sector,
which should involve at least 30 million yuan ($4.37 million) of
fundraising in its first round, its securities regulator said on
Monday.
Investors in the scheme, predominantly institutional, should
offer no less than 10 million yuan each to participate, the
China Securities Regulatory Commission (CSRC) said.
The scheme will invest in residential and commercial
housing, as well as infrastructure projects, the regulator said.
China is also encouraging participation by foreign investors
through an inbound investment programme called the Qualified
Foreign Limited Partnership (QFLP), the CSRC said.
The scheme will give more scope for funds to participate in
the delivery of new homes, and in mergers and acquisitions of
real estate assets, said Yan Yuejin, an analyst at the
Shanghai-based E-house China Research and Development Institute.
"It will also assist some property developers to dispose of
non-performing assets by offering capital support," Yan said.
($1 = 6.8580 Chinese yuan renminbi)
(Reporting by Ella Cao, Liangping Gao and Ryan Woo; Editing by
John Stonestreet and Jan Harvey)
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