Date
16 January 2017
Hong Kong government will continue its efforts to rein in the property market, says the city's leader. Photo: HKEJ
Hong Kong government will continue its efforts to rein in the property market, says the city's leader. Photo: HKEJ

Leung dismisses talk of relaxation of property curbs

Chief Executive Leung Chun-ying has dismissed speculation that the government could ease up on property curbs, the Hong Kong Economic Journal reported.

Authorities will continue their efforts to rein in speculative investors and keep a lid on property prices, Leung was quoted as saying.

Supply of new homes will reach 86,000 units in the coming three to four years, a record high since the government began to release such data in September 2004.

The government will continue to boost land supply to facilitate new home construction, Leung said. 

The remarks came despite some observers warning that property prices in the city may have already hit a peak and that the market could slide due to expected rise in interest rates after the US Federal Reserve begins a tightening cycle.

Analysts at Barclays Plc have said that Hong Kong’s property market could soon enter a long adjustment period as price levels have already peaked.

The bank warned that any steady downtrend in prices in the coming few weeks may affect the sentiment of prospective homebuyers, triggering further correction in the market.

Hong Kong’s property prices have dropped 3 percent from their recent peak, with a 2.7 percent slide witnessed since September, according to Barclays.

[Chinese version中文版]

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