Bank of China Assists Guangdong Province in Issuing RMB 7.5 Billion Offshore Bonds in Hong Kong for Green and
Bank of China has again assisted the People's Government of Guangdong Province in successfully issuing offshore RMB local government bonds in Hong Kong, with a total size of RMB 7.5 billion. The proceeds will fund green low-carbon development, the Nansha external cooperation platform, the blue marine economy of the Pearl River Delta, and ecological protection, supporting high-quality development of the Guangdong-Hong Kong-Macao Greater Bay Area. The bonds are offered in three tranches with pricing rates of 1.42%, 1.52%, and 1.82%.
Bank of China has once again assisted the People's Government of Guangdong Province in successfully issuing offshore RMB local government bonds in Hong Kong, with this issuance totaling RMB 7.5 billion. The bond proceeds will be used for green low-carbon development, the construction of the Nansha external cooperation platform, the cultivation of the blue marine economy in the Pearl River Delta, and ecological protection, thereby supporting the high-quality development of the Guangdong-Hong Kong-Macao Greater Bay Area. Bank of China served as joint global coordinator, joint lead underwriter, joint bookrunner, and settlement and clearing bank for this issuance, and also acted as green and blue structure advisor.
The bond issuance is divided into three tranches: a 3-year tranche of RMB 2.6 billion, a 5-year tranche of RMB 3.5 billion, and a 10-year tranche of RMB 1.4 billion. The 3-year tranche is themed on Nansha Bay, the 5-year tranche is a green and blue bond, and the 10-year tranche is a major water conservancy project bond, with pricing rates of 1.42%, 1.52%, and 1.82%, respectively.
Bank of China (Hong Kong) participated in the relevant work for this bond issuance, taking the lead in coordinating the preparation of issuance materials, bookbuilding and marketing, market pricing, and fund clearing and settlement, while also serving as green and blue structure advisor. Wang Huabin, Vice President of the bank, noted that this bond issuance is an important step as the People's Government of Guangdong Province conducts offshore financing in the Hong Kong capital market for the third consecutive year, and it is also a landmark cross-border financing project implemented by Guangdong Province in Hong Kong in 2026. The bonds precisely align with the global trend of ESG asset allocation among international investors, supporting the implementation of major strategic projects in the Guangdong-Hong Kong-Macao Greater Bay Area, the construction of key infrastructure, and industrial upgrading and development.