The heads of the Ministry of Justice and the Ministry of Housing and Construction answered questions from reporters on the State Council's decision to amend regulations on the administration of housing provident funds

The Zhitong Finance App learned that recently, heads of the Ministry of Justice and the Ministry of Housing, Urban-Rural Development answered questions from reporters on the “State Council's Decision to Amend the 'Housing Provident Fund Administration Regulations'”. The person in charge said that the scope of housing provident fund withdrawals is a common concern of all parties. One of the key elements of the “Decision” is that it has broadened the scope of withdrawal and use of housing provident funds, including no longer setting a threshold limit for withdrawing rent from housing provident funds to pay rent that exceeds the specified ratio of household income, and adding situations where housing provident funds can be withdrawn, such as renovating self-occupied housing and paying property fees for self-occupied housing. On this issue, the “Decision” insists on being active, steady, and balanced, closely following the two core elements of housing consumption and depositors, and further includes the relatively common and urgent need in practice to pay rent, renovation costs, and property fees in the scope of housing provident fund withdrawals to better meet the diverse housing consumption needs of depositors. The “Decision” also added a backstopping provision on “other housing consumption situations approved by the State Council”, leaving institutional space for further broadening the scope of housing provident fund withdrawals.

The original text is as follows:

The heads of the Ministry of Justice and the Ministry of Housing, Urban-Rural Development answered questions from reporters on the “State Council's Decision to Amend the 'Housing Provident Fund Administration Regulations'”

On August 10, 2026, Premier Li Qiang of the State Council signed State Council Order No. 844 promulgating the “Decision of the State Council on Amending the 'Regulations on the Administration of Housing Provident Funds'” (hereinafter referred to as the “Decision”), which will take effect from September 20, 2026. Recently, heads of the Ministry of Justice and the Ministry of Housing, Urban-Rural Development answered questions from reporters on the “Decision”.

Q: Please give us a brief background on the publication of the Decision.

Answer: The housing provident fund system is an important part of China's urban housing system, and it concerns the vital interests of the general public. The Party Central Committee and the State Council attach great importance to the management of housing provident funds. General Secretary Xi Jinping has repeatedly given important instructions on deepening the reform of the housing provident fund system, focusing on stabilizing the real estate market, and speeding up the construction of a new model for real estate development. The Central Economic Work Conference and the “Report on the Work of the Government” clearly set out arrangements for deepening the reform of the housing provident fund system.

Since the implementation of the Housing Provident Fund Regulations in 1999, it has played an important role in strengthening the management of housing provident funds, safeguarding the legal rights and interests of depositors, promoting urban housing construction, and raising the living standards of urban residents. Currently, the operation of the housing provident fund system is facing a new situation. In particular, with the development of China's real estate market and changes in the employment structure, people's demand for housing is shifting from “no” to “good or not”. Housing consumption scenarios are becoming more and more diverse, putting forward new requirements for managing the use and management of housing provident funds; the number of flexible employment groups is growing rapidly, and the coverage of the housing provident fund system needs to be adjusted accordingly. The regulations are no longer fully adapted to actual needs. It is necessary to keep pace with the times, revise and improve on the basis of summing up practical experience to provide strong legal guarantees to speed up the construction of a new model of real estate development and better meet the needs of the masses for a better life.

Q: What is the general idea behind the Decision?

Answer: The “Decision” mainly grasps the following three points in terms of overall thinking: First, it transforms the effective empirical practices of the Party Central Committee and the State Council on deepening the reform of the housing provident fund system into system regulations. The second is to adhere to problem orientation, focus on the people's main concerns about optimizing the housing provident fund management system, improve the system design, and enhance the pertinence and effectiveness of the revisions. The third is to insist on being active and steady, improve the efficiency of use on the premise of ensuring the safety of housing provident fund funds, and better adapt to the real estate development situation and the diverse housing consumption needs of depositors.

Q: What are the major changes in the scope of housing provident fund withdrawals?

A: The scope of housing provident fund withdrawals is a matter of general concern for all parties. One of the key elements of the “Decision” is that it has broadened the scope of withdrawal and use of housing provident funds, including no longer setting a threshold limit for withdrawing rent from housing provident funds to pay rent that exceeds the specified ratio of household income, and adding situations where housing provident funds can be withdrawn, such as renovating self-occupied housing and paying property fees for self-occupied housing. On this issue, the “Decision” insists on being active, steady, and balanced, closely following the two core elements of housing consumption and depositors, and further includes the relatively common and urgent need in practice to pay rent, renovation costs, and property fees in the scope of housing provident fund withdrawals to better meet the diverse housing consumption needs of depositors. The “Decision” also added a backstopping provision on “other housing consumption situations approved by the State Council”, leaving institutional space for further broadening the scope of housing provident fund withdrawals.

Q: What measures are being taken to improve the effectiveness of housing provident fund management services?

A: Further improving the effectiveness of housing provident fund management services is a common expectation of all parties. The “Decision” mainly clarifies four measures in this regard: the first is to simplify the procedures for employees to apply for withdrawal of housing provident funds, and there is no need for the unit where they are located to verify and issue a withdrawal certificate. The second is to shorten the review time limit for housing provident fund loan applications, from 15 days to 10 days. Third, the competent departments for housing, urban and rural construction under the State Council, departments in charge of housing, urban and rural construction of the provincial and autonomous region people's governments, and housing provident fund management centers are required to strengthen digital and intelligent construction, achieve mutual trust and mutual recognition of housing provident fund deposit records, etc. throughout the country, and promote convenient and efficient processing of housing provident fund transfers and offsite loans. Fourth, it is clear that housing provident fund management centers should urge units to fulfill their obligations such as housing provident fund deposit registration and full deposit on time, and clarify legal responsibilities for acts that fail to urge units to fulfill their obligations.

Q: How to further strengthen risk prevention and control of housing provident fund funds?

Answer: In order to further strengthen risk prevention and control, ensure the safety of housing provident fund funds, and prevent risks such as loan fraud, the “Decision” mainly clarifies two aspects of measures. The first is to strengthen credit restrictions, stipulating that the department in charge of housing, urban and rural construction under the State Council shall determine public credit information in the field of housing provident funds, and that the Housing Provident Fund Management Center shall establish comprehensive, complete and accurate credit records and incorporate them into the national credit information sharing platform. Second, penal regulations have been improved, and clear legal liability has been stipulated for acts of illegally withdrawing housing provident funds and obtaining housing provident fund loans through fraud, falsification of supporting documents, etc.

Q: How does the “Decision” expand the coverage of the housing provident fund system?

Answer: Expanding the coverage of the housing provident fund system to flexible employment groups is an important measure to adapt to changes in China's employment structure and enhance the inclusiveness of the system. Considering the actual situation of flexible employment groups and differences in regional development levels, the “Decision” adheres to two points on the issue of expanding the coverage of the housing provident fund system: first, it respects the wishes of flexible workers, is not mandatory or “one-size-fits-all”, and stipulates that individual businesses, part-time workers, and other flexible workers can voluntarily deposit housing provident funds and enjoy corresponding policy support in accordance with regulations. The second is to authorize local people's governments at or above the municipal level to establish districts to formulate specific measures, and at the same time make it clear that relevant departments under the State Council, such as the Ministry of Housing, Urban-Rural Development, should strengthen their guidance.

Q: What work needs to be focused on to ensure the smooth implementation of the Decision?

A: In order to ensure the implementation of the “Decision”, the parties concerned will do a good job in the following areas as soon as possible. The first is to step up publicity and interpretation efforts. Use various methods to publicize, interpret, and train and guide the “Decision” to help relevant department staff, the public, etc. better grasp the contents of the “Decision” and ensure that the “Decision” is accurately understood and strictly enforced. The second is to improve the supporting system as soon as possible. The relevant departments of the State Council and local people's governments will promptly issue relevant supporting regulations to further refine the system measures, enhance the operability of the system, and ensure implementation of the provisions of the Decision. The third is to strengthen overall coordination. The relevant competent departments under the State Council should effectively strengthen organization, implementation, supervision and administration, local people's governments should coordinate specific implementation work, and relevant departments should strengthen coordination and form joint efforts in accordance with the division of responsibilities to ensure the effective implementation of various systems.

This article was compiled from the official website of the Ministry of Housing and Construction. Zhitong Finance Editor: Xu Wenqiang.