China Development Bank to sell bonds worth US$5.28 billion on connect programme anniversary
Hong Kong units of Bank of China, Ping An Securities and Credit Agricole to coordinate sales
PUBLISHED : Monday, 02 July, 2018, 3:00pm
UPDATED : Monday, 02 July, 2018, 10:55pm
Related topics
China Development Bank, a policy lender that supports state projects, said on Monday it will sell 35 billion yuan (US$5.28 billion) of debt that offshore investors can buy through the bond connect programme with Hong Kong.
The flotation of the financial bonds will start on China’s interbank market and the bond link on Wednesday, with maturity ranging from one year to 10 years, the bank said in a statement. The Hong Kong units of Bank of China, Ping An Securities and Credit Agricole will coordinate the sales, it said.
China Development Bank to mark anniversary of bond connect with sale of bonds worth US$5.28 billion
“The bond connect mechanism promotes the allocation of yuan-denominated assets by global investors, expands the offshore use of the renminbi and pushes forward the orderly opening up of China’s capital markets,” Zhang Xuguang, vice-president of China Development Bank, said in the statement. “The achievements are conspicuous.”
The offering coincides with the anniversary of the launch of the bond connect, a programme similar to the stock exchange links that allow foreign investors access to China’s interbank market. China Development Bank sold 20 billion yuan worth of bonds a year ago to meet demand from overseas investors for yuan-traded notes.
Hong Kong’s Bond Connect sees US$1b worth of trading on first day
Ping An Securities is studying an index of bonds maturing between five and 10 years issued by China Development Bank, and will launch an exchange-traded fund tracking debt offered by the policy lender, the statement said, without giving a time table. Trading of the ETF will be supported by market makers, it said.
This article appeared in the South China Morning Post print edition as: Mainland taps bond connect for 35b yuan
Most Popular
Viewed
- 1
![Apple, Amazon deny report China used tiny chips to hack into their networks]()
- 2
![A QR code is displayed at the HKMA faster payment ceremony to promote the launch of the Faster Payment System to start interbank transfer from Sunday, at Two International Finance Centre (IFC2) in Central. 28SEP18 SCMP / K. Y. Cheng]( "A QR code is displayed at the HKMA faster payment ceremony to promote the launch of the Faster Payment System to start interbank transfer from Sunday, at Two International Finance Centre (IFC2) in Central. 28SEP18 SCMP / K. Y. Cheng")
- 3
![Hong Kong’s property market is showing signs of slowing down as a slew of factors have caused prices to fall recently. Photo: AFP]( "Hong Kong’s property market is showing signs of slowing down as a slew of factors have caused prices to fall recently. Photo: AFP")
- 4
![The bank becomes the latest to downgrade its forecast for the city’s GDP growth, with trade tensions and interest rates on the rise]( "The bank becomes the latest to downgrade its forecast for the city’s GDP growth, with trade tensions and interest rates on the rise")
- 5
![Chinese investments in the US fell in the first nine months of the year because of greater deal scrutiny from American regulators and Chinese curbs on capital outflow. Photo: AP Photo]( "Chinese investments in the US fell in the first nine months of the year because of greater deal scrutiny from American regulators and Chinese curbs on capital outflow. Photo: AP Photo")
Shared
- 1
![Apple, Amazon deny report China used tiny chips to hack into their networks]()
- 2
![Chinese investments in the US fell in the first nine months of the year because of greater deal scrutiny from American regulators and Chinese curbs on capital outflow. Photo: AP Photo]( "Chinese investments in the US fell in the first nine months of the year because of greater deal scrutiny from American regulators and Chinese curbs on capital outflow. Photo: AP Photo")
- 3
![A QR code is displayed at the HKMA faster payment ceremony to promote the launch of the Faster Payment System to start interbank transfer from Sunday, at Two International Finance Centre (IFC2) in Central. 28SEP18 SCMP / K. Y. Cheng]( "A QR code is displayed at the HKMA faster payment ceremony to promote the launch of the Faster Payment System to start interbank transfer from Sunday, at Two International Finance Centre (IFC2) in Central. 28SEP18 SCMP / K. Y. Cheng")
- 4
![Hong Kong’s property market is showing signs of slowing down as a slew of factors have caused prices to fall recently. Photo: AFP]( "Hong Kong’s property market is showing signs of slowing down as a slew of factors have caused prices to fall recently. Photo: AFP")
- 5
![Hudson Square redevelopment is making the New York high life more affordable]()
Commented
- 1
![A US carrier group pictured during an exercise near the Philippines last year. Photo: AFP]( "A US carrier group pictured during an exercise near the Philippines last year. Photo: AFP")
- 2
![Mike Pence’s speech comes after US President Donald Trump accused China during a UN Security Council meeting of interfering in American elections. Photo: AFP]( "Mike Pence’s speech comes after US President Donald Trump accused China during a UN Security Council meeting of interfering in American elections. Photo: AFP")
- 3
![Former White House strategist Steve Bannon addresses the Youth Festival of the right-wing Brothers of Italy party in Rome in September. Photo: EPA-EFE]( "Former White House strategist Steve Bannon addresses the Youth Festival of the right-wing Brothers of Italy party in Rome in September. Photo: EPA-EFE")
- 4
![A Chinese Luyang-class destroyer (right) sailed within 41 metres of the USS Decatur in the South China Sea on Sunday. Photo: US Navy]( "A Chinese Luyang-class destroyer (right) sailed within 41 metres of the USS Decatur in the South China Sea on Sunday. Photo: US Navy")
- 5
![Pence speech comes a week after Trump accused China during a meeting of the UN Security Council of interfering in American elections to help his Democratic rivals]( "Pence speech comes a week after Trump accused China during a meeting of the UN Security Council of interfering in American elections to help his Democratic rivals")
You may also like
Can reinvented lion dance end Hong Kong’s ‘identity crisis’?
In partnership with: Leisure and Cultural Services Department
Unpacking STEAM
Brought to you by: The Harbour School
Comments: