The Macao Special Administrative Region (MSAR) Government welcomes the third issuance in Macao by the People’s Government of Guangdong Province of offshore bonds. It showcases the Central Government and the Guangdong Government’s support for Macao’s efforts to develop a modern financial industry.
Strongly supported by the country’s Ministry of Finance, the Guangdong Government will issue in Macao, by the end of August 2023, two tranches of offshore renminbi-denominated provincial government bonds. The aggregate issued principal amount is expected to be 2 billion renminbi.
One tranche will have a two-year maturity. The other will have a three-year maturity, and has been designated a “green” bond. Both tranches will be available to institutional investors.
The first and second issuance in Macao of Guangdong Government offshore renminbi-denominated bonds was in October 2021 and October 2022 respectively. This third issuance will mark the first time the Guangdong Government has issued green bonds in Macao.
The MSAR Government expresses its sincere gratitude to the Central Government and the Guangdong Government for their support in relation to the issuance of the new offshore bonds. It showcases their support for the development of a modern financial industry in Macao, and a recognition of Macao’s function as a green-financing platform. Not only will the issuance further the financial cooperation between Guangdong Province and Macao, but also it will promote coordinated development in relation to financial services within the Guangdong-Hong Kong-Macao Greater Bay Area.
In order to promote Macao’s appropriate economic diversification, the MSAR Government is devoting its utmost effort to the development of a modern financial industry in accordance with the city’s “1+4” development strategy, and is focusing on the bond market and wealth management.
At present, the MSAR Government is working to optimise infrastructure and resources needed for a financial market, including enhancing Macao's Central Securities Depository (CSD) system, and related laws and regulations for a bond market. Meanwhile, the MSAR Government is striving to make issuance of treasury bonds and provincial-government bonds in Macao a routine practice. It is also encouraging a greater number of institutions to carry out investment and financing activities in Macao, thereby advancing the city’s effort toward appropriate economic diversification.