Renminbi-denominated government bonds to be issued this month

Several foreign central banks could subscribe to renminbi-denominated government bonds, said the Hong Kong government.

The Hong Kong Monetary Authority did not identify these countries but said the bonds from the Chinese Ministry of Finance will be issued later this month.

To be issued to institutional investors will be bonds worth US$2.4 billion. The bonds will have maturities ranging from three to 15 years.

Retail investors will be able to subscribe to US$864 million of bonds with a two-year maturity. Some US$ 314 million of the bonds would be reserved for foreign central banks.

HKMA said the continual issuance of its renminbi-denominated bonds in Hong Kong is aimed at developing the city’s fixed-income market and its infrastructure.