ANNEX 1: CHRONOLOGY OF MEASURES TO CURB CHINESE OVERHEATING
July 3. 16 point austerity plan known as Central Document No. 6 leaked. Main points: tighter monetary policy, forced purchase of government bonds, cutback in government spending, halt to price reform, controls on developments zones, controls on firms stock issues.
July 5-9. People's Bank (PBOC) intervenes in foreign exchange swap market to strengthen Yuan.
July 11. Deposit rates raised by 1.72% loan rates by 1.38% adding to increases in May.
July 13. Construction Ministry sets up inspection group for property and real estate market to implement 10 plans announced by Zhu Rongji previous week (SWB ).
July 29. Authorities in Chengdu clamp down on unauhtorised share trading (SWB).
August 5. Central government circular announces invalidation of tax breaks to foreign funded enterprises granted without central authority by local authorities. Have to reregister starting August 8. (IHT August 2).
August 3. Three new vice-governors appointed at PBOC, two removed (IHT, August 4).
August 3. Price controls on electricity lifted (IHT, August 4).
August 15 deadline set for banks to recall speculative loans (property, stocks, futures). Imposed by state council reported by HK press.
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