On December 23, 2020, the People’s Bank of China (PBC) issued RMB10 billion RMB-denominated central bank bills in Hong Kong, with a term of six months and a rate of 2.70 percent. The issuance was well received by overseas investors, with the total bid amount around RMB30 billion, or three times the issued amount. Subscribers included commercial banks, central banks, funds and other institutions from America, Europe and Asia as well as international financial organizations, demonstrating the strong attraction of RMB assets to overseas investors and the confidence of global investors in China's economy.
The PBC issues RMB-denominated central bank bills in Hong Kong on a regularly basis, which is conducive to enriching the lines of RMB investment products with high credit ratings and RMB liquidity management tools in Hong Kong, and to promoting offshore issuances of RMB bonds by domestic financial institutions and businesses. Recent years have witnessed increasing issuances of RMB-denominated government bonds, financial bonds and corporate bonds, as well as more diversified forms and places of issuances, reflecting that RMB-denominated central banks bills in Hong Kong have effectively promoted the development of offshore RMB markets.
