The CEO and chairman have stepped down as the company looks to solve "temporary liquidity difficulties", in part through the support of its largest shareholder, the state-owned Shenzhen Metro Group.

Mid-tier accounting firms and unicorn financing are creating new opportunities for private credit investors as China reforms its property sector.

The fines from the China Securities Regulatory Commission and Ministry of Finance relate to the auditing of a subsidiary of troubled property developer Evergrande which inflated its revenue by billions of dollars; PwC's global chair has described the work as "completely unacceptable".

Following a Rmb300bn lending boost for unfinished flats from the PBOC, BNP Paribas analysts believe a bottom for property prices might be reached in the second half of 2025.

Hui Ka Yan has been fined $6.53m and banned from the securities market by the China Securities Regulatory Commission, after unit Hengda Real Estate was found to have falsified revenue for the 2019 and 2020 financial years by over $70bn.

After a damning Hong Kong court verdict, Chinese developers to face higher financing costs, and the move could set a precedent for future liquidations.

International investors will be closely watching if the liquidators, from Alvarez & Marsal Asia, have any power over the enforcement of assets in China of the troubled property group.

China’s economy will not crash but property and local government debt challenges are undermining a country whose GDP is still growing at around 5% a year.

Foreign investors should expect to suffer from Evergrande’s woes.

Professor warns of hard landing for China’s property market. Could there be some upside?