HKMA to Reopen 1-Year RMB Bond Tender on July 23, 2026

The Hong Kong Monetary Authority (HKMA) is set to hold a re-opening tender for 1-year RMB Institutional Government Bonds (Issue No. 02GB2705001) on Thursday, July 23, 2026. The tender will offer RMB0.75 billion in bonds under the Infrastructure Bond Programme, with settlement scheduled for July 27, 2026. This issuance will carry a 1.71% annual coupon, payable semi-annually, aligning with the terms of the original issue.

The bonds will mature on May 17, 2027, with an indicative price of 100.30 as of July 17, 2026, translating to a semi-annualised yield of 1.339%. The re-opening is open exclusively to Primary Dealers, and each competitive tender must be in denominations of RMB50,000 or its multiples. Tender results will be published on the HKMA website and financial platforms such as Bloomberg and Refinitiv by 3:00 p.m. on the tender date.

This follows the HKMA’s recent trend of re-opening institutional RMB bond issues to meet robust demand for offshore renminbi (CNH) assets. For example, in March 2026, a RMB1.0 billion re-opening of 1-year bonds saw an oversubscription rate of 11.4 times, with bids totaling RMB11.4 billion. The average yield accepted was 1.358%, slightly below the coupon rate, reflecting strong institutional appetite for high-quality fixed-income instruments in Hong Kong.

As with previous issuances, proceeds from the upcoming tender will be allocated to infrastructure projects under the Infrastructure Bond Framework. This aligns with Hong Kong’s strategy to strengthen its role as a global hub for offshore RMB bond issuance. The city’s institutional market continues to attract interest from investors seeking exposure to stable RMB-denominated assets amid China’s ongoing efforts to internationalize its currency.

The bonds being offered on July 23 are fungible with the existing issue (Stock Code: 85010) already listed on the Hong Kong Stock Exchange. This ensures secondary market liquidity for investors once the tender is completed. Accrued interest for successful bidders is set at RMB171.00 per minimum denomination of RMB50,000, payable alongside the principal on the settlement date.

With the re-opening tender only days away, market participants are closely watching for potential oversubscription levels and pricing pressures. The recent uptick in demand for CNH-denominated bonds signals continued confidence in Hong Kong’s bond market infrastructure and its ability to attract institutional capital. Investors and participants can find more details on the Hong Kong Government Bonds website, including the latest list of Primary Dealers.

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