Tony Kim
Aug 01, 2025 19:45
The Hong Kong Monetary Authority will conduct a tender for the re-opening of 10-year RMB HKSAR Institutional Government Bonds on August 7, 2025, offering RMB1.5 billion to primary dealers.
The Hong Kong Monetary Authority (HKMA) is set to reopen its 10-year RMB HKSAR Institutional Government Bonds through a tender scheduled for August 7, 2025, according to the HKMA’s announcement on August 1, 2025. The reopening will offer an additional RMB1.5 billion of the outstanding bonds, identified by issue number 10GB3505001, under the Infrastructure Bond Programme.
Tender Details
The bonds on offer will mature on May 15, 2035, and carry an interest rate of 2.29% per annum, payable semi-annually. The indicative pricing as of August 1, 2025, is 104.23, with a semi-annualized yield of 1.816%. The tender is exclusively available to primary dealers appointed under the Infrastructure Bond Programme, and applications must be submitted in amounts of RMB50,000 or its multiples.
The tender results will be available on multiple platforms, including the HKMA’s website, the Hong Kong Government Bonds website, Bloomberg, and Refinitiv, no later than 3:00 pm on the tender day. Successful bidders will be required to pay accrued interest of RMB276.05 per RMB50,000 denomination on the issue date, August 11, 2025.
Infrastructure Investment
The proceeds from the bond issuance will be directed towards infrastructure projects, adhering to the Infrastructure Bond Framework outlined on the Hong Kong Government Bonds website. The bonds will be fully fungible with the existing issue 10GB3505001, listed on the Stock Exchange of Hong Kong under stock code 85024.
Market Context
This reopening of the RMB bonds comes amidst a backdrop of increasing interest in Hong Kong’s bond market, as investors seek stable returns amidst global economic uncertainties. The HKMA’s strategic bond issuance aligns with its broader goals of enhancing financial stability and funding key infrastructure developments within the region.
For more details, the official announcement can be accessed on the HKMA website.
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