Research On Current Housing Accumulation Fund System In China

Research on current housing accumulation fund system in chinaAs an important part of Chinas housing system,housing fun, whose developmenthas a history of nearly20years, it has improved the residential condition of countlessurban workers as well. It is build up according to the Housing Fund of Singapore. TheHousing Fund is deposited by workers and the enterprise they work in together, withthe amount being a proportion of worker’s income. The fund is managed bygovernment but it belongs to the worker itself, mainly preserved for housingconsumption. In the background of high speed development of economy and high riseof housing price, it’s out of many people’s capability to buy their own house, so in thiscontext, some disadvantages of the Housing Fund has come to the surface. First of all,take the organization for example, Housing Fund Management Center has not made itsresponsibility clear enough. Second, as to the operation, the coverage of Housing Fundis narrow, with a lack of fairness and regional cooperation, restricting the effect ofuniversal housing indemnity. Meanwhile, the Housing Fund usage has a low efficiencyand the development of regional Housing Fund isn’t in balance. And the supervisionneeds to be improved too. A series of defections have weakened the Housing Fund’scapability to support housing consumption on a large scale. Inevitably, people havedoubt about the meaning of the Housing Fund system. Only by complying with theprinciple of putting people’s interest on the first place and improving the Housing Fundsystem, can it be of great help to the whole housing system and benefit a wide range ofpeople, thus promoting the construction of a harmony society.Some developed countries have started to build the housing security system early,thus becoming relatively mature. So they have attained much valuable experience wecan learn from. For example, America has a mature law system and developed housingfinance. Japan offers favorable housing policy. And Germany has its housing depositsystem to support funding for house building. Last, Singapore build its Housing Fundsystem under the instruction of government. All of these can point our way to developthe housing security system. Firstly, government should take its responsibility toincrease citizen’s pay ability on the one hand, and to increase housing supply on theother hand. Secondly, legislation is important. A complete housing security law system is in need to protect the healthy development of housing security system. Thirdly, weshould pay attention to financial innovation as well as risk control, improving the fundusing efficiency.On the basis of studying the successful experience of the housing system ofseveral major countries, taking the housing adjustment policy into account, this articlesuggest improve the Housing Fund system from three aspects. First, develop it byadjusting the position of management center, putting more laws into force andexpanding the coverage of the system. Second, make innovations by providing thepoor more beneficial loan policy, establishing a Housing Fund service platform; Last,improve the management by redesigning the working process and ensuring theefficiency and safety of the fund while invest it in the low-rent homes.In history, the Housing Fund has played an important role in settling the problemof citizen’s housing. It takes the double role of common housing security and specialhousing security at the same time. In the current time, there’s no other system settingcan replace it. Facing all the weaknesses and disadvantages of the Housing Fundsystem, government should take active action to improve the system and overcome theshortcomings, making it a real valuable system benefiting all the laborers, especiallythose whose income is low. This is the fundamental requirement of socialism harmonysociety. Obviously we have a long way to go. Only by improving the Housing Fundsystem well can government support people’s house demand and serve people’sinterest.