Hong Kong began marketing multi-currency offshore green bonds Wednesday, adding to the global rush of deals as borrowers take advantage of a market recovery.
(Bloomberg) — Hong Kong began marketing multi-currency offshore green bonds Wednesday, adding to the global rush of deals as borrowers take advantage of a market recovery.Â
The city is offering benchmark-sized dollar bonds across four tenors, according to people familiar with the matter, who asked not to be identified because they’re not authorized to speak about it. It’s also marketing green notes in the offshore yuan that will mature in two and five years, respectively, said the people. The government also picked banks to market euro bonds as soon as Wednesday.
The first week of January is proving to be busy for issuers globally, taking advantage of a drop in spreads to reduce their funding costs. For offshore issuers in Asia, the dollar’s depreciation is also helpful.Â
Fixed income markets incurred heavy losses last year as the Federal Reserve raised interest rates, prompting issuers to stay on the sidelines. But they recovered somewhat late in 2022, with the spread on dollar-denominated bonds in Asia outside Japan now the narrowest since September.
More stories like this are available on bloomberg.com
©2023 Bloomberg L.P.