Guangdong issued the first provincial govt offshore RMB bonds in Macao

On October 12, Guangdong Government issued up to RMB 2.2 billion yuan of offshore renminbi provincial government bonds in Macao, marking the first direct offshore debt sales by a provincial government.

It is also the first offshore bond sold in Macao by the Chinese mainland’s local government, recording a breakthrough between Guangdong and Macao on cross-boundary financial cooperation.

The sales have attracted investors from the Chinese mainland, Hong Kong SAR, Taiwan Region, and foreign countries including Brazil, Australia, and Japan. The bonds will have maturities of three years and will be invested in education, technology, and agriculture.

Last month, China issued a plan for building Guangdong-Macao in-depth cooperation zone. The plan stressed building an integrated new system with Macao featuring high-level opening-up, and innovative measures will be introduced in terms of cross-border financial management.

At the same time, under a series of reform and innovation measures in the past, Hengqin's financial industry has achieved a leapfrogging development during the past few years.

From 2009 to 2020, Hengqin's financial industry's added value has increased from 30 million yuan to 14 billion yuan, the registered capital of financial enterprises exceeded 1 trillion yuan, and the asset management scale of wealth management institutions exceeded 3 trillion yuan.