Unifying Standards on Information Disclosure of Corporate Debenture Bonds and Bolstering Sustained and Sound Development of China’s Bond Market
In order to implement the decisions and arrangements made by the Central Committee of the Communist Party of China (CPC) and the State Council, regulate the information disclosure of corporate debenture bonds and unify the standards on information disclosure of corporate debenture bonds, the People’s Bank of China (PBC) recently worked with the National Development and Reform Commission (NDRC) and the China Securities Regulatory Commission (CSRC) to jointly release the Administrative Measures for Information Disclosure of Corporate Debenture Bonds (hereinafter referred to as the Measures).
Based on the practices of China’s bond market as well as international experience, the Measures specifies the fundamental requirements and principles of information disclosure of corporate debenture bonds and unifies the requirements for key elements, contents, timing and frequency of information disclosure of corporate debenture bonds.
According to the Measures, disclosure of bond information shall follow the principles of authenticity, accuracy, integrality, timeliness and fairness. Enterprises, intermediaries and relevant personnel shall strictly fulfill the obligations of information disclosure specified in the Measures, and refrain from false recording, misleading statements and serious omissions. Meanwhile, to further enhance the quality of information disclosure, the Measures also provides detailed requirements on the major contents, structure and formats of bond prospectuses and periodic reports.
The Measures marks an important move to improve the fundamental institutional system of the bond market and a vital institutional arrangement to regulate and unify the information disclosure standards of corporate debenture bonds. It helps boost the quality and transparency of information disclosure in the bond market, shore up market-based constraints and protect the legitimate rights and interests of investors. Next, the PBC will continue to collaborate with the NDRC and the CSRC within the framework of ministerial coordination mechanism for corporate debenture bonds, so as to jointly promote the sustained and sound development of the corporate debenture bond market.
