Hongkong Financial Secretary: The Government Will Increase The Number Of Residential Buildings To Resell Extra Stamp Duty In The Short Term.

According to the Hongkong finance and social news agency, Ceng Junhua also said that the stamp duty would be suspended.

Ceng Junhua also said the HKMA would require banks to reduce property mortgage rates and apply to non residential markets.

Ceng Junhua believed that the new measures would not affect the real users, but said that if necessary, the government would introduce other measures, and hoped that this measure would help reduce the speculation in the property market.

With regard to these new policies, Ceng Junhua explained that property prices rose by 15% in the first 9 months, up 47% from the 08 year low, 3 to September, small units up 8.1%, large units up 6.1%, and the increase exceeding the increase of public income. Therefore, it is necessary to take preventive measures as early as possible.

Ceng Junhua pointed out that the global surplus of funds, coupled with the US $600 billion side effect, can not be ignored. The property market in Hong Kong has risen 20% since the financial tsunami in 08 years, and the burden of the public has risen to 42% from 08 to 32%.

The International Monetary Fund (IMF) issued a report on the 18 day that the price pressure of Hongkong will become more and more evident in the coming months. It is expected that inflation will reach 5% by the end of next year.

The report also believes that the recent measures taken by the government to curb property prices are correct.

However, if property prices continue to grow at a high level, it is suggested that the government should further raise stamp duty and increase rates for luxury property.

In response to the remarks made by IMF, Ceng Junhua, the financial secretary, responded that the government would remain vigilant and respond to the challenges posed by the exceptionally loose monetary policy of the developed countries.