HONG KONGSHANGHAI, Nov 29 Reuters Chinese property developers39; shares and bonds soared on Tuesday after regulators lifted a ban on equity refinancing for listed firms, the latest support measure for a cashsqueezed sector that has been a key pillar of the world39;s No. 2 economy.

The move will make it easier for developers to obtain fresh funding, analysts said, but reviving demand from homebuyers would remain challenging amid persisting COVID19 curbs that have triggered rare street protests across many Chinese cities.

The shares and bonds surged after China Securities Regulatory Commission CSRC said on Monday it would broaden equity financing channels, including private share placements for China and Hong Konglisted developers, lifting a ban in place for years.

The move is the latest regulatory easing as Beijing steps up support for the property business, a sector that accounts for a quarter of the Chinese economy. Many developers have defaulted on debt obligations racked up during a building boom and have now halted construction.

China39;s CSI 300 Real Estate Index closed up 9.4, marking its biggest daily jump ever.

Meanwhile, Hong Kong39;s Hang Seng Mainland Properties Index closed 8.1 higher. Shares of Longfor, Agile and China Vanke jumped between 8 and 14, while Country Garden added 4.5.

Nomura analysts said they believed sentiment towards the property development sector should see notable lift due to the continued introduction of policy easing by the central…