The "Opinions of the State Council on Strengthening the Management of Local Government Debts" clearly stipulates that "business projects such as commercial real estate development must be decoupled from the government and fully marketed, and their debts are equivalent to general competitive corporate debt." All previous government documents to rescue the market have been abolished.

Before the National Day, the four major banks relaxed the criteria for determining the first home, as long as the balance of the mortgage loan is paid off, it will be counted as the first home. This is regarded as the government's real estate rescue, and it has been hyped by some people these days. Someone rushed for the bank to rescue the market, saying that this is the central government's rescue. The central government has changed and continues to follow the old economic path of the real estate pillar industry. Government officials and rich developers can make a lot of money again.

I think that everyone should read the "Opinions of the State Council on Strengthening the Management of Local Government Debts" issued by the General Office of the State Council on October 10. This is the first time that the State Council has issued a document to comprehensively regulate the management of local government debt, which means that my country's local debt system built by building open channels and blocking hidden channels is on the road. The opinion clearly stipulates: "For commercial real estate development and other business projects, they must be decoupled from the government and fully marketed, and their debts are equivalent to the debts of general competitive enterprises."

The opinion also specifically pointed out: the central government will not help the debt repayment. Whoever raises the debt is responsible. The opinions issued this time highlight the "responsibility" of the local government for debt repayment, and make it clear that "local governments are responsible for repaying their debts, and the central government implements the principle of non-relief." "To distinguish the boundary between government debt and corporate debt. , And truly realize that whoever borrows and repays is at his own risk."

The opinions indicate four attitudes:

XNUMX. Real estate development is a commercial project, and the government is not allowed to participate or make money from it.

XNUMX. Since local governments are not involved in real estate project development, the central government will not support it. Will be treated as a commercial project.

XNUMX. Local governments should not spend money from real estate projects. This is an important area for the next step in anti-corruption.

XNUMX. Local government debts cannot be repaid from real estate. The central government does not pay the bill, and whoever owes the debt will pay it.

In short, the previous local government and the government documents of the bank bailout were wrong, and whoever issued the policy documents was responsible. Here, the central government has drawn an important line. It is illegal to make money from real estate and will be included in the anti-corruption. It also shows that the central government has planned a countermeasure to clean up the real estate mess.

It is interesting to note that with regard to local debt, the first thing the media exposed was that the local government was collecting debts by shopkeepers. As soon as the central government's opinion came out, in the anti-corruption situation, debts must be repaid. The government official knelt down and said there was no money. Both the central government and the shopkeepers forced debts, and the local governments had to repay the money.

Then, the debts owed by the local real estate government to the people will one day be collected by the people. This is a huge amount. For example, during the National Day, the owners went to the Shanghai Real Estate Fair to carry out rights protection actions. Real estate rights protection and how the government should liquidate the high housing prices have not yet begun. In the 2008 financial crisis in the United States, banks were collected hundreds of billions of dollars in debt collection for manipulating the bond market. The debt for the Chinese government to manipulate high housing prices will always be liquidated.

Now local governments and banks are publicly standing in front of the bailout. The evidence is true, and the blame is hard to escape.

The money that local governments, developers, banks, and wealthy real estate speculators manipulated high housing prices stolen from the people must be returned to the people.

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