Finance ministry issues 5b yuan in treasury bonds in Hong Kong

BEIJING - The Ministry of Finance (MOF) on Thursday issued yuan-denominated treasury bonds worth 5 billion yuan (about $754 million) in Hong Kong Special Administrative Region.

Of the total, 4.5 billion yuan was issued to institutional investors through bidding, with the interest rate for 3 billion yuan of two-year bonds standing at 3.65 percent and a rate of 3.8 percent for 1.5 billion yuan of five-year bonds, the MOF said.

The remaining 500 million yuan was issued to overseas central banks and the regional monetary authority, consisting of 300 million yuan of two-year bonds and 200 million yuan of five-year bonds.

The MOF started selling yuan-denominated treasury bonds in Hong Kong in September 2009 to boost the region's economy and speed up the expansion of offshore yuan business.