China announced on Friday that it has issued 40 billion yuan ($5.6 billion) worth of 20-year ultra-long-term fixed rate special national treasury bonds. In a statement, the Ministry of Finance said that this series of treasury bonds will be available to purchase starting May 29. Moreover, the ministry reported that the bonds are accessible to individual investors. China will establish the coupon rate through competitive bidding, which it will facilitate by underwriting organizations on Friday.
This year, China plans on issuing 20-year, 30-year, and 50-year ultra-long-term national treasury bonds. Hence, the ministry aims to raise 1 trillion yuan ($140 billion) to stimulate key sectors in its economy. Moreover, it aims to improve the supply and demand structure of treasury bonds.
In addition, the country seeks to raise funds for China’s implementation of national strategies and improve the security capacity in key areas.
Read: Gold prices eye largest weekly drop in 8 months
The treasury bonds will all be available to individual investors, who can purchase them from banks and security exchanges.
The finance ministry said that it will sell 30-year special bonds in 12 tranches, from May 17 to November 15. It also revealed that it will sell 20-year bonds in seven batches beginning May 24, while it will issue 50-year bonds in three tranches starting from May 17.
For more news on markets, click here.
