Chinese government to build more affordable housing

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Source: CCTV.com | 03-08-2009 16:11

The central government says it will increase the supply of affordable housing for low-income groups. But Liu Ying reports that while they approve of the direction of the policy, some lawmakers and advisors have differing opinions about the current plan.

Building more affordable houses for low-income residents is a target Premier Wen Jiabao has set in this year's government work report. The Premier promised to solve the housing problems for 7.5 million low-income urban households over the next three years. The government also aims to tackle the accommodation problems for rural migrants working in cities.

Some NPC deputies say the best way to solve the housing problem for low-income group is to rent, rather than sell houses to them.

Zhang Keqiang, a NPC deputy from Guangdong, said: "I very much agree that we solve the housing problems for the poor. But I'm against developing the government-subsidized low-cost housing because selling such homes involves the transfer of property ownership from the state to individuals. To some extent it's a loss of national property. I think building low-rent housing on a large scale is the best way to solve the housing problems."

Others agree. One CPPCC member says Beijing should re-adjust its affordable housing plans.

CPPCC Member Wang Zheng said: "...the city plans to construct 8-million square meters of affordable housing this year. But only 500 thousand square meters is low-rent. A large majority of the homes are meant to be sold. This ratio isn't reasonable. I think low-rent housing should account for 90 percent of all planned construction."

Other members suggest the government policies should differ according to specific segments of the population.

CPPCC member Zhang Yunling said: "The policy should be changed to subsidize three groups. One is the young--subsidize them to rent a home rather than to buy one. The 2nd group, middle aged educated group, encourage them to buy homes with some coupons. The 3rd, very low income group, the government should provide very low rent."

As some delegates have pointed out, policies concerning affordable homes still need further improvement to fully support low-income families. But as the government continues ramping up investments in this area, it will undoubtedly change the dynamics of the housing market, and make it more equitable.

Editor:Shi Taoyang