A government-subsidized housing project is under construction in Nantong City, east China's Jiangsu Province, March 22, 2024. /CFP

China's central bank announced on Friday that it would establish a 300-billion-yuan (about $42.25 billion) relending facility to support the government-subsidized housing project.

Local state-owned enterprises are encouraged to use the funds to buy reasonably priced commercial homes that have completed construction, Tao Ling, an official with the People's Bank of China, told a press conference, adding that these homes will then be used to provide affordable housing.