China's Jan-Oct property investment rises 6.3% y/y

BEIJING, Nov 16 (Reuters) - China’s real estate investment rose 6.3% in January-October year-on-year, official data showed on Monday, quickening from a 5.6% gain seen in the first nine months of the year.

Property sales by floor area remain unchanged in January-October from the same period a year earlier, compared with a 1.8% decline in the first nine months, the National Bureau of Statistics (NBS) said in a statement.

Property investment is a key growth driver for China. China’s massive property sector provided much-needed support to a coronavirus-hit economy earlier this year due to looser policies in some cities.

But as sales recovered, regulators have increased scrutiny on financing activities of developers and buyers to prevent rampant debt growth.

New construction starts measured by floor area fell 2.6% in the first 10 months from a year earlier, slowing from a 3.4% drop in the first nine months period.

Funds raised by China’s property developers grew 5.5%, up from the 4.4% growth seen in the first nine months of the year. (Reporting by Liangping Gao and Gabriel Crossley; Editing by Sam Holmes)