BEA shows its appetite for dim sum bonds

Bank of East Asia Ltd, Hong Kong’s largest independent local bank and third largest bank, expects to issue up to one billion in dim sum bonds this year.

Deputy Chief Executive Brian Li said BEA has secured approval from Chinese regulators to issue the dim sum bonds in Hong Kong.

Dim sum bonds are bonds issued in Hong Kong that are denominated in Chinese yuan or renminbi instead of the Hong Kong dollar. Until July 2010, only Chinese and Hong Kong banks could issue renminbi-denominated bonds.

Deregulation, however, led to the development of an offshore market in renminbi and the internationalization of dim sum bonds.

Li also expects China's recent cut in the reserve requirement ratio for banks to boost lending for BEA's subsidiary in China.

The People's Bank of China will cut banks' reserve requirement ratio by 0.5 percentage point effective Feb. 24 to boost liquidity and prop up the faltering Chinese economy.

Li did not exclude the possibility of raising funds in the near future while saying BEA's capital adequacy ratio is not too low.

Also Read

Mizuho expands mid-term finance emission targets

China’s investment banking fees drop 25% in 9M 2024

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit