2.2　　　Trust
　　After the issuance of Rule 121 of China Central Bank, the People''s Bank of China, in 2003, commercial banks began to tighten real estate development loans. As a result of this rule, developers began to turn to trust institutions, which in turn encouraged the trust industry. However in September 2005, the China Banking Regulatory Commission (CBRC) issued Rule 212, which provides that a real estate developer who issues real estate collective fund trust units must have the "four certificates" (Certificate of State Owned Land Use Right, Certificate of Construction Land Planning Permit, Certificate of Construction Project Planning Permit and Certificate of Construction Project Commencement Permit), must hold the second level (or above) qualification for real estate development, and the project capital shall be no less than 35% of the total investment.　
　　However, Rule 212 did not entirely frustrate trust institutions and developers. Real estate trusts expanded much faster than other trust products and accounted for half of the total trust products in China in value in June 2006.
　　Thus, the CBRC quickly issued another rule, Rule 54, in August 2006. This provides that the real estate loan business (or indirect real estate loan business via commission of investment plus buy-back) of trust institutions must strictly comply with the requirement of Rule 212.
　　This Rule 54 almost cuts off the route of real estate development financing via trust.
　　However, now some new trust products are very active in the real estate market. The best example is the Lianhua trust, which targets equity investment rather than real estate loans.
　　The main problem for equity investment via collective trusts was the 200 units limitation, which meant a collective trust could only sell no more than 200 trust units. But now this limitation is being loosened. The Vice President of CBRC stated at the Second Summit Conference of China Trust Industry (September 2006) that under the precondition of financial security of trust industry, the 200 units limitation could be changed. And Mr. Dai Xianglong, the mayor of Tianjing City (the new special district for financing in China), declared at this Summit Conference that Tianjing will try this breakthrough.

第 [1] [2] [3] [4] 页 共[5]页