Offshore bonds issued by Chinese property developers plunged to $1.6b in August

About $3.7b are set to mature for the remainder of the year.

Offshore bond issuance by Chinese property developers dropped to $1.6b in August from $7.4b the previous month, Moody's Investor Service reported.

Also read: Offshore bonds issued by Chinese property developers plunged to $1.6b in August

According to Cedric Lai, Moody's vice president and senior analyst, only $3.7b of offshore bonds are set to mature for the rest of the year.

Offshore bond issuance by property developers from China is expected to decline due to lower refinancing needs, depleted quotas and new restrictions on offshore issuance.

National property sales value growth slowed to 8.0% in July, from 8.9% and 10.4% in June and May, respectively. This is attributed to the 1.3% decline in sales volume.

Lai said that it will continue to slow for the second half of the year in response to tight refinancing conditions.