PBOC to Issue Record 60 Billion Yuan ($8.2 Billion) Bills in Hong Kong, Largest Since 2018

Jan 9, 2025, 03:30 AM

The People's Bank of China (PBOC) has announced plans to issue 60 billion yuan (approximately $8.2 billion) in central bank bills in Hong Kong on January 15, marking the largest single issuance on record. The six-month bills, with a maturity date of July 18, 2025, will settle on January 17, 2025, with interest rates determined through a bidding process. This issuance, the largest since 2018, aims to stabilize the yuan amid growing pressures on the currency. The move is part of the PBOC's strategy to absorb excess offshore liquidity and discourage short positions against the yuan. Analysts view this as a significant step in defending the currency, as the yuan faces downward pressure due to economic challenges.