China's property investment drops 10.1% y/y in January-June

BEIJING (Reuters) - Property investment in China fell 10.1% in the first half of 2024 from a year earlier, matching a figure in January-May, suggesting the sector is still not out of the woods despite mounting policy support.

Property sales by floor area in January-June fell 19.0% from a year earlier, shallower than a 20.3% slump in January-May, National Bureau of Statistics (NBS) data showed on Monday.

New construction starts measured by floor area fell 23.7% on year, after a 24.2% drop in the first five months.

Funds raised by China's property developers were down 22.6% from a year earlier after a 24.3% fall in January-May.

Although recent measures are expected to boost demand in major cities, small cities continue to grapple with excessive housing inventory and lukewarm consumption sentiment, underlining a pressing need for more stimulus to revive local economies.

(This story has been corrected to say 'shallower' than a 20.3% slump, not 'deeper,' in paragraph 2)

(Reporting by Liangping Gao, Ella Cao and Ryan Woo; Editing by Jacqueline Wong)