The Chinese central bank issued 25 billion yuan (approx. USD$3.85 billion) in central bank bills via Hong Kong on Friday, 20 August.
The People’s Bank of China (PBOC) said that the issue included 10 billion yuan in 3-month central bank bills with a rate of 2.60%, and 15 billion yuan in 1-year bills with a rate of 2.75%.
According to PBOC the issue was well-received by offshore investors, including banks, central banks, funds, insurers and institutional investors from multiple countries and regions, including North America, Europe and the Asia-Pacific.
Total bidding reached 73 billion yuan, or more than 2.9 times issuance. According to PBOC this “clearly indicates the strong appeal of renminbi assets to offshore investors, and also reflects the confidence of global investors in the Chinese economy.”