China’s real estate boom has further deepened the divide between the haves and the have-nots as the country’s middle class struggles with soaring property prices.
Wen Jiabao, China’s premier, on Friday pledged measures to curb speculation in the country’s housing market and rein in soaring prices, but with real estate accounting for 10 per cent of GDP, making any changes would not be welcomed by investors.
The dilemma for Chinese leaders is finding a balance between their need for prices to stabilise, while avoiding a property price crash.
Al Jazeera’s Melissa Chan reports from Beijing. (6 March 2010)
Duration : 0:2:50
[youtube iT4sunRfm-k]