The three red lines (Chinese:三條紅線, Simplified:三条红线, Pinyin: sān tiáo hóng xiàn) are financial regulatory guidelines in China introduced in August 2020 relating to the ratio of debt to cash, equity and assets.[1] It was introduced to help rein in the highly indebted property-development sector in China, seen especially in large real estate concerns such as Evergrande, which faced a liquidity crisis in Q4 2021.[2]