Asia's wealthiest woman Yang Huiyan has lost more than half of her fortune over the last year as China's real estate sector struggles with a severe cash crunch. The crisis led to a steep decline in the value of Country Garden, a real estate company founded by her father Yang Guoqiang. Huiyan is a majority shareholder in the Chinese property giant.

Yang Huiyan's net worth plunged by more than 52 percent to $11.3 billion from $23.7 billion in just a year, according to the Bloomberg Billionaires Index.

Back in 2005, Yang Guoqiang had transferred all his Country Garden shares in Huiyan's name. Two years later, she became Asia's richest woman after the company's initial public offering in Hong Kong.

However, China's real estate crisis has narrowed the gap in net worth between Huiyan and Fan Hongwei, who is Asia's second richest woman. While Huiyan's current net worth is said to be $11.3 billion, chemical fibres tycoon Hongwei is close behind with a net worth of $11.2 billion.

Earlier this week, Huiyan's fortune took a major hit as Guangdong-based Country Garden's Hong Kong-listed shares fell 15 percent. The drop in value came after the company announced it would sell new shares to raise cash. So far this year, Country Garden's stock has lost more than half its market value. This is primarily because China is witnessing a lack of demand in real estate which, in turn, is leading to falling property prices.

Adding to the misery of China's real estate players, the government is cracking down on the companies that have a huge standing debt. The crackdown began after the Evergrande crisis. Notably, the property sector is estimated to account for 18-30 percent of China's GDP.

First Published:Jul 29, 2022 2:56 PM IST