Dr Cao Yuanzheng: Real estate policy is difficult to relax in the short term

October 23 News, BOC International chief economist Dr Cao Yuanzheng in today's "CMRC China Economic Observation (CEO)" 23rd report, said that the real estate policy in the short term difficult to relax. Dr Cao Yuanzheng that despite the negative effects of real estate regulation on economic growth in the second half of the year, this round of real estate regulation is unlikely to be done halfway. The reason is that exports will make a positive contribution to GDP this year, in stark contrast to last year's 4.15 per cent negative contribution to exports.　　"As long as the world economy is still recovering, real estate policy has remained a tight tone for the year even before the 18," Dr Cao Yuanzheng said.　　At the same time, in the view of Dr Cao Yuanzheng Levy, real estate regulation helps to control inflation expectation and reduce enterprise cost, and can create a relaxed policy state for other industry development and economic structure adjustment.　　According to the real estate cycle, sales tend to fall first after the credit crunch, followed by new construction, a slight fall in investment and a lag in real estate prices. According to this, Dr Cao Yuanzheng that the first half of this year's real estate development investment to maintain a relatively rapid growth, due to the last year's huge credit and sales lag effect and the lower base, and other factors, the second half of the growth rate may significantly decline. (Sho Yu from Beijing)