The source said that the regulatory authorities asked the pilot housing enterprises to achieve the debt reduction target by the middle of 2023.

SMM: according to sources, regulators require pilot housing companies to complete the debt reduction target by June 30, 2023.

Earlier, market news showed that the "three red lines" of financing had been piloted in 12 housing enterprises participating in the symposium held by the central bank and the Ministry of Housing and Construction. According to a "Statistical Monitoring Table of main Operation and Financial indicators of pilot Real Estate Enterprises" issued by the regulatory authorities, the regulatory authorities require the pilot real estate enterprises to submit this form before the 15th of each month.

It is reported that the monitoring table involves a total of eight financial indicators, namely, the asset-liability ratio after excluding the advance collection, the asset-liability ratio without excluding the advance collection, the net debt ratio, the cash short-debt ratio, the amount of land purchased with the caliber of rights and interests, the amount of sales of rights and interests, and whether the net cash flow generated by business activities in the past three years is continuously negative, interest-bearing liabilities, which covers the financing "three red lines" indicators.

The "three red lines" rules are that after excluding the advance collection, the asset-liability ratio is more than 70%, the net debt ratio is more than 100%, and the cash short-debt ratio is less than 1 times.

As early as August 20, the Housing and Construction Department of the Central Bank held a forum with 12 housing enterprises, with the participation of country Garden, Evergrande, Vanke, Rongchuang, Zhongliang, Poly, Xincheng, China Shipping, overseas Chinese Town, Greenland, China Resources and Sunshine City.