Hong Kong Monetary Authority Schedules Tender for 3-Year Government Bonds
Peter Zhang Oct 21, 2024 19:43
The Hong Kong Monetary Authority announces a tender for 3-year HKD Institutional Government Bonds, set for October 23, 2024, under the Infrastructure Bond Programme.
The Hong Kong Monetary Authority (HKMA) has announced the upcoming tender for 3-year Hong Kong Dollar (HKD) Institutional Government Bonds, scheduled for October 23, 2024. Acting on behalf of the Hong Kong Special Administrative Region Government (HKSAR Government), the HKMA will oversee this process under the Infrastructure Bond Programme, as reported by the Hong Kong Monetary Authority.
Details of the Bond Offer
The tender will feature a total amount of HK$5.5 billion in 3-year bonds, maturing on October 25, 2027. These bonds will carry an interest rate of 2.89% per annum, with interest payments scheduled semi-annually. The issue and settlement date for the tendered amount is set for October 24, 2024.
Participation and Tender Process
Participation in the tender is limited to Primary Dealers appointed under the Infrastructure Bond Programme. Interested parties must submit applications through these dealers, with each tender requiring a minimum amount of HK$50,000 or multiples thereof. The tender process will be conducted competitively, ensuring a transparent allocation of bond units.
Tender results will be made available on multiple platforms, including the HKMA's website, the Hong Kong Government Bonds website, Bloomberg, and Refinitiv, by 3:00 pm on the day of the tender. The bonds are expected to commence trading on the Stock Exchange of Hong Kong Limited by October 25, 2024.
Infrastructure Bond Programme
The Infrastructure Bond Programme aims to channel funds into infrastructure projects, with proceeds from the bond issuance being invested in accordance with the Infrastructure Bond Framework. This initiative underscores the government's commitment to enhancing infrastructure development within the region.
Further details regarding the tender and the Infrastructure Bond Programme are accessible through the Hong Kong Government Bonds website or by consulting the Primary Dealers. The HKMA continues to play a pivotal role in facilitating government bond issuances, contributing to the financial stability and growth of Hong Kong's economy.
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