China’s central bank issues CNY10B bills in Hong Kong

BEIJING (Xinhua) – The People’s Bank of China (PBOC) issued a total of CNY10 billion of central bank bills in Hong Kong yesterday.

The bills will mature in six months, with the bid interest rate at 2.89 per cent, the PBOC said.

The issuance was well received by investors in the offshore market, with the total bid amount exceeding CNY36 billion, the PBOC said.

Since November last year, the PBOC has issued CNY130 billion of such bills in Hong Kong and established a regular mechanism of issuing central bank bills in the region.

The move helps to expand the range of yuan-denominated financial products with high credit ratings in Hong Kong, offer more yuan liquidity management tools, and improve the yield curve of yuan bonds in Hong Kong, according to the PBOC.