China's Ministry of Finance (MOF) posted on its website Friday that it would start issuing 3-month zero coupon Treasury bills each week from October 9.
The MOF decision aims to further optimize China's T-bond yield curve so as to strengthen the curve's role as a pricing benchmark for financial market.
Moreover, MOF will release announcements for issuance of such T-bills one working day ahead of their auction dates to better learn demand and allow them to be traded on secondary market three working days after their auction dates to reduce risks brought by price volatility for investors.
On Friday, MOF has floated 10 billion yuan 3-month zero coupon T-bills at a price of 99.435 yuan, yielding 2.29 percent annually.
Latest comments