The central bank yesterday asked local lenders and cooperatives to reclaim loans and raise interest rates on loans involving land plots where construction has not started 18 months or more after purchase, citing the need to curb land hoarding.
The 18-month limit came after a closed-door meeting yesterday between the monetary policymaker and 36 local lenders and cooperatives, in which all participants agreed to the new terms, the central bank said in a statement.
The restriction is intended to prevent land hoarding, which is widely blamed for soaring housing prices, it said.
Developers have said they have no choice but to raise housing prices to reflect soaring land, labor and building material costs.
The central bank last month curtailed land financing by lowering the maximum loan-to-value ratio from 60 to 50 percent and added a clause requiring borrowers to start construction within “a certain period of time.”
Central bank Governor Yang Chin-long (楊金龍) said he would soon meet with bankers and then elaborate on the required period.
Lenders should reclaim loans on long-idle plots and raise interest rates on borrowers unless they have compelling reasons that make the delay necessary, the central bank said.
In addition, lenders should set reasonable timeframes for land financing when they process loan rollover or transfer requests to help prevent loans from spurring land hoarding, it said.
The central bank said lenders must boost responsible lending by following up on land loans through on-site inspections and other measures to document construction progress.
Lenders that fail to do so would be regarded as negligent and regulatory agencies might penalize them, it said.
The central bank reiterated that it would closely monitor real-estate lending and the property market as a whole, and would, if necessary, introduce more restrictions.
Intel Corp yesterday said it has placed its first order with ASML Holding NV to purchase the semiconductor industry’s first TWINSCAN EXE: 5200 system, as the US chip giant aims to compete with Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) in advancing to 2-nanometer process technology. The Dutch semiconductor equipment maker’s TWINSCAN EXE:5200 system is an extreme ultraviolet (EUV) high-volume production system with a high numerical aperture (NA) that can produce 220 wafers per hour, more than the 150 wafers that its previous generation TWINSCAN EXE:5000 system can handle. ASML aims to launch the new system in 2024. ASML president and chief
MediaTek Inc (聯發科), the world’s biggest 5G chip supplier, saw its ranking rise by one notch to No. 7 last year among world semiconductor vendors, as it benefited from the rapid 5G smartphone uptake in China after Huawei Technologies Co (華為) was forced to exit the market, Gartner Inc said in a report yesterday. MediaTek’s revenue soared 58.8 percent to US$17.45 billion last year from US$10.99 billion in 2020, outpacing the global semiconductor industry’s growth of 25 percent, according to Gartner’s tally. That gave MediaTek a 3 percent market share. The Hsinchu-based chip company ranked No. 8 in 2020, behind Texas Instruments
South Korea’s antitrust watchdog yesterday fined 23 domestic and foreign shippers a combined 96.2 billion won (US$80.84 million) for price-fixing, including three Taiwanese container shippers — Evergreen Marine Corp (長榮海運), Yang Ming Marine Transport Corp (陽明海運) and Wan Hai Lines Ltd (萬海航運) — the Central News Agency and Japan’s Nikkei Asia reported. Korea Marine Transport Co and Sinokor Merchant Marine Co instigated the collusion by raising freight rates for routes between South Korea and Southeast Asia, China and Japan, and they were later joined by other foreign and domestic firms, the Korea Fair Trade Commission said, citing the results of an
Citigroup Inc, which has been shedding some of its retail operations as part of a global revamp, is in advanced talks with Fubon Financial Holding Co (富邦金控) for a sale of its China consumer business, people familiar with the matter said. Taipei-based Fubon has emerged as the likeliest buyer after outbidding rivals, and the two lenders are negotiating the terms of a potential transaction, the people said, asking not to be identified as the information is private. They are aiming to sign an agreement in the next few weeks and the assets could be valued at about US$1.5 billion, the people said. A