Govt plans 6b yuan bond float in HK

The Ministry of Finance said it plans to offer 6 billion yuan of government bonds in Hong Kong for the first time to elevate the "international status" of its currency.

The sale on Sept 28 to individuals and institutions will encourage acceptance of the yuan for global trade and promote growth of Hong Kong's fixed-income market, according to a statement from the ministry.

"The move will help expand yuan investment channels outside the mainland and promote cross-border yuan settlement," said Shi Lei, analyst, Bank of China. "It's an important step in the long-term mission of making the yuan fully convertible."