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HKMC Releases Social Bonds Allocation and Impact Report for 2025 Issuance
The HKMC published its Social Bonds Allocation Update and Impact Report for the November 2025 issuance, detailing proceeds allocation and social impacts.
The Hong Kong Mortgage Corporation Limited (HKMC) has released its Social Bonds Allocation Update and Impact Report for the November 2025 Social Bond issuance. The report, published on 6 November 2026, provides details on the allocation of net proceeds and the social impacts of the bond as of 30 September 2026.
Proceeds Allocation and Social Impact
The HK$2 billion, 30-year social bond, issued on 25 November 2025 with a 3.88% annual issuance yield, was designated to support the HKMC’s Reverse Mortgage Programme. This program aims to provide essential financing for elderly individuals in Hong Kong, addressing a critical need for financial services in retirement planning. The bond’s net proceeds were restricted to the 'Access to Essential Financing & Financial Services for the Elderly' category under HKMC’s Social, Green and Sustainability Financing Framework.
The report highlights the deployment of these funds and their impact, ensuring transparency and accountability for investors. However, specific details on allocated amounts, allocation percentages, or the number of beneficiaries were not disclosed in the announcement. Readers are directed to the full report available on the HKMC’s official website for further information.
Background on the Social Bond
The November 2025 issuance was part of HKMC’s broader efforts to develop Hong Kong’s debt and retirement-planning markets. The tranche received AA+ and Aa3 ratings from S&P and Moody’s, respectively, reflecting its senior, unsecured status. This issuance is distinct from other bonds issued concurrently, such as the HK$10 billion two-year notes and CNH5 billion three-year notes, whose proceeds were allocated for general financing purposes.
By focusing on financing for the elderly, the HKMC’s social bond aligns with its mission to address societal needs through sustainable financial instruments. The latest report underscores the organization’s commitment to transparency in the use of proceeds and the measurable social benefits of its initiatives.