1st time bonds promote Hengqin’s development
Guangdong will once again issue offshore provincial government bonds in Macau, scheduled at the end of this month, marking the fourth consecutive year the adjacent province is issuing offshore bonds here, the Macau Monetary Authority (AMCM) announced in a statement yesterday.
The renminbi-denominated bonds to be issued at the end of this month will include those aiming to support the development of major infrastructure projects in the Guangdong-Macau In-depth Cooperation Zone in Hengqin, the statement said, adding that it will be the first time that the Guangdong government issues specialised bonds for the zone’s development in Macau.
“Renminbi” (“people’s currency”) is the official name of the nation’s legal tender, informally known as “yuan”.
2.5 billion yuan
Different to the three previous years, the Guangdong Provincial People’s Government will issue offshore renminbi-denominated provincial government bonds worth 2.5 billion yuan in Macau this time, in celebration of the 25th anniversary of Macau’s return to the motherland, according to yesterday’s AMCM statement.
Guangdong issued offshore provincial government bonds worth 2.2 billion yuan in Macau in 2021, two billion yuan in 2022, and also two billion in 2023.
According to the statement, the bonds to be issued this time will once again include green bonds, after this type of bond was issued by the Guangdong government in Macau for the first time last year.
As in the past three years, the offshore provincial government bonds this year will also only be offered to institutional investors, according to the statement.
The statement underlined that the preparation work for the upcoming issuance has been jointly supported by the Ministry of Finance in Beijing and the Guangdong Provincial People’s Government in Guangzhou.
The statement said that Guangdong’s upcoming issuance of its government bonds in Macau showed the joint support by the central government and the Guangdong government for the development of Macau’s bond market, and was also an important measure to deepen cross-border financial cooperation between Guangdong and Macau.
The statement noted that this year marks the third anniversary of the in-depth cooperation zone’s establishment with its first-phase development goals scheduled to be achieved, when the Guangdong government will issue specialised bonds for the zone’s development in Macau for the first time, highlighting its great support in promoting the integrated development of Macau and Hengqin.
In addition, the statement said, Guangdong’s upcoming issuance of green bonds in Macau will help diversify green financial products in Macau, highlighting Guangdong-Macau cooperation in promoting the green and sustainable development of their financial markets.
The statement pledged that the Macau Monetary Authority will continue to promote local financial institutions’ stronger participation in the in-depth cooperation zone’s development.
Poster in Chinese released by the Macau Monetary Authority (AMCM) on its Facebook page yesterday about Guangdong’s upcoming issuance of 2.5-billion-yuan bonds in Macau.
