Several measures were instituted to facilitate development of a robust bond market (a)  In 2003, the government lowered the cash ratio for commercial banks to release liquidity held with a view to reducing interest rates. (b)  The Government also streamlined its domestic Borrowing Cash Plan in favour of bonds.
House prices will probably continue to fall for a while, and inventories of unsold homes, while decreasing, will remain elevated. At some point, however, house prices will begin to stabilize, demand will be bolstered by the lower level of prices and low interest rates, and inventories will come into better alignment with sales.