PBOC to offer bills worth 60b yuan

Staff reporter

The People's Bank of China will tender 60 billion yuan (HK$63.67 billion) of central bank bills in Hong Kong next Wednesday, with a maturity of six months.

It will be the largest-ever single issuance of offshore yuan bills tendered by PBOC in Hong Kong, and it is also the first time for the issuance to take place in January, according to market data.

According to PBOC's announcement, this batch of central bank notes is the first issue this year, which is a fixed-rate interest-bearing bond issued through the Hong Kong Monetary Authority.

Standard Chartered said the bills aim to prevent further depreciation of the yuan, and also indicate that liquidity of the offshore yuan may remain tight for a longer period after the inauguration of US President-elect Donald Trump on January 20, or even after the Chinese Lunar New Year.