Property conundrum to test government's resolve (3)

SATISFACTORY HOUSING FOR THE PEOPLE

On Tuesday morning, Premier Wen said the Chinese government will tighten real estate market regulation and continue to build and manage government-subsidized housing, guaranteeing satisfactory housing for the people.

This year, 4.7 million government-subsidized urban housing units will be basically completed, the construction of another 6.3 million units will begin and the renovation of dilapidated rural homes will continue, he said.

Over the past five years, more than 18 million various types of government-subsidized housing units have been built, and over 12 million housing units in run-down areas have been upgraded, according to the report Wen delivered on Tuesday.

In a separate report issued by the National Development and Reform Commission (NDRC), the country's top economic planner, non-governmental capital will be encouraged to participate in the construction of government-subsidized housing this year.

The NDRC says its macro-management work aims to increase land supplies for housing construction, provide more ordinary small and medium-sized condominiums, continue to implement differentiated housing credits and tax policies and limit home purchases to rein in speculative and investment-driven housing demand.

With a new Cabinet set to be formed at the legislative session that closes on March 17, legislators and political advisors say the country's housing macro-management maneuvers will become more clear.