News

The HKMA will reopen RMB1.5 billion of 10-year HKSAR Government Bonds on 12 November 2026 under the Infrastructure Bond Programme.

The Hong Kong Monetary Authority (HKMA), acting on behalf of the Hong Kong Special Administrative Region (HKSAR) Government, announced on 6 November 2026 that it will reopen RMB1.5 billion of 10-year institutional Government Bonds (issue no. 10GB3505001) under the Infrastructure Bond Programme. The tender is scheduled for Thursday, 12 November 2026, with settlement on Monday, 16 November 2026.

Tender Details and Bond Specifications

The bonds, which carry a fixed coupon rate of 2.29% per annum payable semi-annually, will mature on 15 May 2035. The reopening adds to the existing issue originally tendered in May 2025, leaving approximately 8.50 years to maturity as of the November 2026 settlement date. The indicative price as of 6 November 2026 is 104.18, implying a semi-annualised yield of 1.760%.

The tender will be conducted via competitive bidding between 9:30 a.m. and 10:30 a.m. Hong Kong time on 12 November. Applications must be submitted through Primary Dealers listed on the Hong Kong Government Bonds website, in minimum denominations of RMB50,000 or integral multiples thereof. The accrued interest payable at settlement is RMB0.00 per RMB50,000 denomination.

Context and Historical Demand

This reopening follows several prior issuances of the same bond. The original tender in May 2025 offered RMB1 billion and received RMB6.814 billion in applications. Subsequent reopenings in August 2025 and July 2026 saw strong demand, with bid-to-cover ratios of 6.86 and 8.65, respectively. The July 2026 reopening, which offered RMB1.25 billion, achieved an average accepted price of 104.42, corresponding to an annualised yield of 1.754%.

Use of Proceeds

The bonds are issued under the Infrastructure Bond Programme, established in 2024 to finance or refinance eligible public infrastructure projects. Proceeds from this issuance will be allocated to such projects in accordance with the programme’s framework.

The results of the 12 November tender will be published by 3:00 p.m. on the same day on the HKMA and Hong Kong Government Bonds websites, as well as on Bloomberg (GBHK <GO>) and Refinitiv (IBPGSBPINDEX).