HKMA to Tender HK$1.75B 5-Year Bonds on June 24, 2026
Tony Kim Jun 17, 2026 09:56
The HKMA will auction HK$1.75 billion in 5-year bonds on June 24, 2026, under the Infrastructure Bond Programme, with proceeds to fund key projects.
The Hong Kong Monetary Authority (HKMA) announced it will hold a tender for HK$1.75 billion worth of 5-year HKD Institutional Government Bonds on Wednesday, June 24, 2026. The bonds, issued under the Infrastructure Bond Programme, will carry an annual interest rate of 2.96%, paid semi-annually, and mature on June 25, 2031. Settlement is scheduled for Thursday, June 25, 2026.
The auction is open exclusively to Primary Dealers listed under the Infrastructure Bond Programme, with tender applications starting at HK$50,000 and increments thereof. Results will be published by 3:00 PM on the tender day across multiple platforms, including the HKMA’s website, Bloomberg (GBHK
Strategic Context for Bond Issuance
This issuance aligns with Hong Kong’s broader strategy to strengthen its position as a global bond issuance hub. The HKMA has been actively supporting this agenda through systematic government bond programmes and innovative developments like tokenised bonds. Earlier this year, the HKSAR Government successfully priced HK$27.6 billion in green and infrastructure bonds across multiple currencies, underscoring its commitment to sustainable investment. Additionally, on June 11, the Hong Kong Mortgage Corporation issued HK$12 billion in digital bonds, marking the world’s largest-ever public digital bond issuance.
Proceeds from the upcoming bond issuance will be directed toward infrastructure projects, as outlined in the Infrastructure Bond Framework. The HKMA, which also oversees the Central Moneymarkets Unit (CMU), plays a crucial role in clearing and settlement for such issuances, ensuring market accessibility and operational efficiency.
Market Implications
With a fixed interest rate of 2.96%, this offering may attract institutional investors seeking predictable returns amid potential market volatility. The competitive tender process typically results in robust pricing efficiency, reflecting prevailing demand for Hong Kong dollar-denominated government bonds. Given the HKMA’s track record and Hong Kong’s reputation as a stable financial hub, the bonds are likely to see strong interest from both domestic and international players.
The timing of this issuance also coincides with Hong Kong’s ongoing push to integrate innovative bond solutions, including tokenised bonds and sustainable financing. This broader strategy aims to diversify Hong Kong’s market offerings and support its role as a gateway for regional and global capital flows.
Key Details and Next Steps
The bonds will begin trading on the Stock Exchange of Hong Kong on Friday, June 26, 2026. Investors interested in participating must act through one of the Primary Dealers, with further details available on the Hong Kong Government Bonds website.
As Hong Kong continues to expand its bond market capabilities and explore cutting-edge financial instruments, this issuance represents another building block in the city’s long-term financial strategy.
Image source: Shutterstock.jpg)
