2020 Renminbi Bond (Series 2) (Bond Connect)

On July 06, 2020, the New Development Bank (NDB) successfully placed a CNY 2 billion bond in the China Interbank Bond Market, with a maturity of 5 years and a coupon rate of 3%. By issuing the bond, the Bank completed the quota of its CNY 10 billion Bond Programme registered in January 2019.

The final book size closed in excess of CNY 4 billion, representing an oversubscription of 2.1 times. Notably, the bond was priced 16 bps lower than the valuation of China Development Bank bond on the same day. The bond received extraordinary support from investors, despite high volatility demonstrated in the China Interbank Bond Market, with the China Government Bond jumping quite significantly across the curve.