Shenzhen City will issue offshore municipal government bonds in Macau for the first time, the Macau Monetary Authority (AMCM) has announced.
An AMCM statement on Monday said that the renminbi-denominated bonds are scheduled to be issued later this month.
“Renminbi” (“people’s currency”) is the official name of the nation’s legal tender, informally known as “yuan”.
According to the statement, the bonds, worth one billion yuan, to be issued will all be green bonds, dedicating to financing projects aiming to tackle climate change.
The upcoming issuance of offshore municipal government bonds by Shenzhen City comes after the Ministry of Finance has issued sovereign bonds in Macau five times and the Guangdong Provincial People’s Government has issued offshore provincial government bonds in Macau five times.
The statement noted that the preparation work for the upcoming issuance has been jointly supported by the Ministry of Finance in Beijing and the Shenzhen Municipal People’s Government.
The statement said that the Macau Monetary Authority welcomes Shenzhen’s first issuance of municipal government bonds in Macau. After the Ministry of Finance’s issuance of sovereign bonds and Guangdong’s issuance of provincial government bonds in Macau, the upcoming issuance of municipal government bonds by Shenzhen is another important measure aiming to accelerate the development of Macau’s bond market.
The upcoming issuance, the statement said, also demonstrates the strong support from the central government and the Shenzhen government in the development of Macau’s modern financial business while advancing the city’s appropriate economic diversification.
The offshore municipal government bonds to be issued by Shenzhen will only be offered to institutional investors, according to the statement.
This undated handout released by the Macau Monetary Authority (AMCM) yesterday shows its headquarters on Guia Hill.
