On May 15, the People’s Bank of China (PBC) issued successfully in Hong Kong three-month and one-year RMB-denominated central bank bills, both worth RMB10 billion, with a coupon of 3.00 percent and 3.10 percent, respectively. This was the third time the PBC issued RMB central bank bills through the CMU BID, a bond tendering platform of the Central Moneymarkets Unit (CMU) operated by the Hong Kong Monetary Authority, following two offerings via the platform last November and this February. The bills were subscribed by large numbers of offshore market investors of different types, such as commercial banks, funds, investment banks, central banks and international financial organizations, with the total of bid amounts exceeding RMB100 billion.
The continuously successful issuance of RMB central bank bills in Hong Kong corresponds with market demand, and expands the range of RMB investment products of high credit rating in Hong Kong as well as the tools for RMB liquidity management. It is also conducive to improving the yield curve of RMB bonds in Hong Kong and promoting RMB internationalization.
