China's finance minister said on Saturday that the country would "significantly increase" government debt issuance to offer subsidies to people with low incomes, support the property market and replenish state banks' capital as it pushes to lift economic growth.

Commercial banks are also moving separately to ease the burden on homeowners.

Without providing details on the size of the fiscal stimulus being prepared, Finance Minister Lan Foan told a news briefing in Beijing that there will be more "counter-cyclical measures" this year.

"There is still relatively big room for China to issue debt,” he said.

Lan noted that local governments still have a combined 2.3 trillion yuan to spend in the last three months of this year, including debt quotas and unused funds.

Local governments will be allowed to repurchase unused land from property developers, Lan said.

Separately, China's major national commercial banks unveiled detailed measures to adjust interest rates for outstanding mortgage loans in line with the central bank's policies to stabilize the property market.

Major lenders - Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, and China Construction Bank - said the adjustment would take effect from October 25.

They said the mortgage rates for first homes, second homes and more will be reduced to 30 basis points below the loan prime rate.

The People's Bank of China last month asked commercial banks to lower interest rates for outstanding mortgage loans as the country aims to ease property owners' financial burdens. (Xinhua, Reuters)