CHENGDU, Feb. 20 (NBD) -- Shenzhen, which was at the forefront of China's reform and opening-up and had piloted many innovative systems, is now ideal for the expanded property tax pilot program, Ni Pengfei, director of the Center for City and Competitiveness at the Chinese Academy of Social Sciences, told NBD in a recent interview. 

The city can learn from Hong Kong's experience, leveraging more economic means rather than administrative ones to address market issues. When creating its real estate development model, mainland China borrowed many ideals from Hong Kong. 

Ni noted that the property tax represents a general trend. It is the best time to levy a property tax in first- and second-tier cities at present to restrain investment and speculative behaviors, adjust the income distribution, and improve urban public services.

Pilot results in Shanghai and Chongqing show that property tax is helpful to hold back real estate investment, but given the limited scope and extent, it hasn't yet brought significant effects, according to surveys conducted by some research institutes.

Email: lansuying@nbd.com.cn