(Forex.ru)The cost of real estate in China falls

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  1. http://www.forex.ru/forex-novosti/10670-stoimost-nedvizhimosti-v-kitae-padaet.html

    The cost of real estate in China falls

    September 18, 2014 Thursday, 10:29 GMT

    The cost of new buildings in 70 major Chinese cities slid in August on the background of the efforts of the developers to lower prices to attract buyers on the background of the recession on the real estate market.

    According to the National statistical Bureau of the PRC, the average cost of new buildings in China in August decreased to 1.10% relative to July.

    In July, the index value decreased by 0.89% in monthly terms, and in June by 0.47%. Compared to the same period last year the average price in August increased by 0.51 percent.

    The real estate and construction sector are the most important driving forces of growth of the Chinese economy, providing more than 20% of GDP.

    Reducing the cost of new buildings, excluding Council housing in June was observed in 68 of the 70 largest cities in the country.

    Over the past months of the current year residential sales in China declined by 10.9%. Experts predict that the fall in property prices will continue on the background of a large amount of offers on the real estate market and tightening credit conditions.
    Source: Forex.ru