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China's central bank issues 30 bln yuan of bills in Hong Kong

China's central bank issues 30 bln yuan of bills in Hong Kong

Aug 13, 2020

Beijing (China), Aug 13: China's central bank Thursday issued 30 billion yuan (about 4.32 billion U.S. dollars) worth of bills in Hong Kong.
Of the total bills, 20 billion yuan will mature in three months and 10 billion yuan will mature a year later, with the interest rate for both standing at 2.7 percent, according to the People's Bank of China (PBOC).
The issuance was well-received by investors in the offshore markets of many countries and regions in Europe, North America and Asia, with the total bid amount reaching about 62.4 billion yuan, 2.1 times the amount in circulation, the PBOC said.
"This reflects the strong attractiveness of renminbi assets for overseas investors, as well as the confidence of global investors in the Chinese economy," the PBOC said.
Since November 2018, the bank has established a standard mechanism for issuing central bank bills in Hong Kong.
The move helps to enrich yuan-investment products with high credit ratings in Hong Kong, offers more yuan liquidity management tools, improves the yield curve of yuan bonds and advances the yuan's internationalization, the PBOC said.
Source: Xinhua News Agency