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Economist: Another 20 Years Needed to Absorb China’s Real Estate Surplus

According to Jiangnan Times, a publication under People’s Daily, Professor Li Daokui from Qinghua University, one of the most influential economists in China, predicted that it will take another 20 years to absorb China’s existing real estate surplus. 

“Currently, only 140 million urban residents are without housing. However, with existing land reserves [for housing], we have the capacity to provide housing for 200 million people. That means it will take at least another 20 years to assimilate these land reserves. China has a very serious housing surplus problem. China’s real estate bubble has grown to be so appalling! [It is unbelievable that] local governments actually are daydreaming about the sale of their land so they can pay up to 20 trillion yuan of the local governments’ debt!” 
Source: Jiangnan Times reprinted by People’s Daily, November 21, 2013