China's securities regulator said it will work with other government departments to further improve the mechanism on infrastructure real-estate investment trusts (REITs), as part of efforts to better support the real economy.
Earlier in April 2020, China initiated a pilot scheme on infrastructure REITs to deepen supply-side structural reform in the financial sector and enhance the capital market's capabilities.
The scope of the REIT pilot program should be expanded, the China Securities Regulatory Commission said on Friday.
The commission is guiding exchanges to formulate rules for REIT expansion, and it will solicit opinions later.
The REIT pilot scheme on affordable rental housing projects will also be promoted, said the commission.
As an important approach to realizing real-estate securitization, REITs collect investors' funds and hand them over to professional investment institutions for real-estate investment management.