China's Country Garden posts $6.7 billion net loss for 2023 1st half

China's largest property developer, Country Garden, has posted a net loss of 48.9 billion yuan, or about 6.7 billion dollars, for the January-to-June period, compared with a reported net profit of 612 million yuan a year earlier.

The company says a major factor in the loss was weak sales amid a slump in the real estate market. The firm also points out that it lowered the value of properties it is building.

Country Garden, based in Guangdong Province, was China's leading developer last year in terms of housing sales value. The firm was believed to be healthy when Evergrande Group fell into a financial crisis.

But Country Garden's performance has deteriorated sharply amid the ongoing property market downturn. It is also facing financial difficulties, delaying interest payments on some bonds.

China's real estate sector, including related industries, is said to account for about one-fourth of the country's gross domestic product. Concerns are rising about the outlook for the Chinese economy.