China’s first yuan-denominated green sovereign bond issuance in Canada has drawn more than 59 billion in subscriptions, 13.7 times the amount offered, Bloomberg reported.
The Ministry of Finance’s 4 billion yuan (HK$4.7 billion) sovereign debt sale was split evenly between three- and five-year notes, pricing at yields of 1.4 percent and 1.5 percent, respectively. Royal Bank of Canada was a joint bookrunner for the issuance.
After the issuance, Canada will become another offshore market for China’s yuan sovereign bond issuance, following Hong Kong, London and Macau. Earlier this month, China and Canada agreed to extend their trade agreement to the end of 2028.
