Chinese banks are increasingly selling perpetual bonds onshore, as attractive yields propel them to raise funds in the domestic market. But this avenue of recapitalisation is not open to all, with smaller mainland banks hobbled by lack of investor interest. Rebecca Feng reports.
Banks in China have been allowed to sell perpetual bonds onshore only since the start of this year, when Bank of China blazed a trail with a Rmb40bn ($5.6bn) transaction.
Since then, the market has picked up. So far in 2019, nine banks have tapped the onshore perp market