MOX to display ‘Panda Bonds’

Local exchange MOX announced to have launched a China inter-bank bond market (CIBM) Panda Bond Information Display to bridge the information gap between Panda bond issuers and international investors.

In cooperation with Beijing Financial Assets Exchange, Chongwa (Macao) Financial Asset Exchange Co. (MOX) will display panda bond information under the guidance of the National Association of Financial Market Institutional Investors (NAFMII).

Panda bonds are renminbi-denominated bonds sold by a non-Chinese issuer within mainland China, excluding Hong Kong and Macau.

‘China’s bond market is the 2nd largest in the world. In recent years, with the comprehensive opening of China’s inter-bank bond market (CIBM), all kinds of institutional investors around the world can enter CIBM to conduct investment,’ the MOX indicated.

‘Renminbi bonds issued by overseas non-financial enterprises, foreign government agencies and international development Institutions in CIBM (hereinafter referred to as panda bonds) shall be registered with NAFMII and accept its self-regulatory management’.

The SAR’s first financial institution to provide services of bond issuance, listing, registration, custody, trading and settlement, MOX was established in December 2018, with the development of the financial industry earmarked by local authorities as one of the main avenues for the economic diversification of the SAR.

As of November 18, 2021, there were 85 bond issuances/listings by 57 issuers on MOX in a total value of about MOP258.1 billion (US$32.26 billion), MOX Executive Director and Vice President Tenny Ruan told Macau Business in an interview.