A potential update to Beijing's real estate reform plans could either serve to optimize the government's deleveraging strategy, or overhaul it entirely -- the latter of which could weaken China's efforts to develop its economy as well as President Xi Jinping's influence over economic policy. According to sources cited in a Jan. 6 Bloomberg report, Beijing may be planning to relax a policy that has wreaked havoc on China's real estate sector by severely limiting the amount of debt that property developers can take on. The relaxation of China's so-called ''three lines policy,'' which was introduced in 2020, could reportedly involve raising lending caps on developers and extending the deadline for companies to meet debt limits by six months from the originally planned date of June 2023. This comes ahead of Beijing's new rules for Chinese companies raising debt overseas, which are due to take effect on Feb. 10. It...