(ATF) – The People’s Bank of China (PBOC) has said it will issue yuan-denominated bills on March 26 through the Central Moneymarkets Unit (CMU) of the Hong Kong Monetary Authority.
A total of 10 billion yuan (US$ 1.43 billion ) of six-month bills will be made available for competitive tender on a coupon-bid basis by any qualified CMU members through the CMU BID. The bills will be issued at par value.
According to the announcement, issurance of the offshore central bank bills is to enrich Hong Kong’s high credit rating RMB financial products and improve the RMB yield curve in Hong Kong.
Meanwhile, the government has decided to expand a “sandbox” foreign debt scheme for local technology startups.
The State Administration of Foreign Exchange launched the pilot project in 2018 in a national demonstration zone in Beijing, allowing small and medium-sized and micro high-tech enterprises to borrow foreign debt independently within a certain amount.
The pilot’s scope will be extended to provinces and major cities.