Chinese central bank issues 5 billion yuan bills in Hong Kong SAR
The central bank of China on Tuesday issued 5 billion yuan (about $ 784.57 million) in six-month renminbi central banknotes in the Hong Kong Special Administrative Region (SAR), with an interest rate of 2.5%.
The issue was well received by foreign institutional investors such as banks and funds from the United States, Europe, Asia and other countries and regions, as well as a number of international financial organizations. , the total amount of the bid reaching 22.2 billion yuan, or more than 4.4 billion yuan. times the amount in circulation, the People’s Bank of China (PBOC) said in an online statement.
This reflects the strong attractiveness of renminbi assets to foreign investors, as well as the confidence of global investors in the Chinese economy, the PBOC said.
Since November 2018, the PBOC has gradually established a mechanism for the regular issuance of renminbi central bank notes in Hong Kong.
The issue not only enriches the portfolio of renminbi investment products and liquidity management tools in the Hong Kong market, but also encourages financial institutions and domestic companies to issue renminbi bonds in offshore markets. , said the PBOC.
In recent years, there has been a continuous increase in the amount of renminbi treasury bills, financial bonds and corporate bonds in offshore markets, indicating that central bank bond issuance in Hong Kong is playing a role. positive in stimulating the development of offshore renminbi markets. , according to the PBOC.