The issuance of panda bonds in China has hit over 210 billion yuan (HK$246 billion) in the first eight months of the year, surpassing the full-year figure for 2025, as foreign participation in the country's debt market continued to expand.
The amount of yuan-denominated debt securities issued by offshore entities in China reached nearly 214 billion yuan in the eight months, compared to just 183 billion yuan for 2025, data from the People's Bank of China showed.
The enthusiasm for panda bond issuance is believed to be primarily driven by the relatively low financing costs associated with the Chinese yuan, which stands at around 2 percent per year, compared to 4 to 5 percent for US dollar bonds.
Nearly 30 offshore entities issued such bonds in the country in the period, helped in part by a growing presence of sovereign borrowers. Slovenia, Pakistan, Kazakhstan, and Indonesia all successfully printed their inaugural panda bonds during the period, the data showed.
Earlier this month, Chow Tai Fook Jewellery (1929) said it plans to raise up to 10 billion yuan through panda bonds.
