China

There’s been plenty of hype about Panda bonds as borrowers and bankers scramble to take advantage of this new avenue into China. But for all the momentum the market has shown since reopening, it is plagued by a number of problems including a lacklustre response from onshore investors. Regulators need to act if the market is to reach its potential, writes Carrie Hong.

Index providers are once again discussing the potential inclusion of A-shares with global investors. But despite the best efforts by China’s regulators to ready the country’s financial system, market participants remain divided about whether recent steps go far enough, writes Paolo Danese.

Although the weak yuan trend is continuing China's latest move to slow capital outflows is keeping short-end CNY NDIRS calm. Meanwhile, China has issued its first London-listed dim sum bond and Sri Lanka is planning a Panda bond issue, writes Deirdre Yeung of Total Derivatives.

GlobalCapital was one of the judges for the China Securitization Forum’s annual awards in April. Twenty transactions were given plaudits in credit and corporate asset securitization with six singled out as outstanding. We present the winners and photos from the event.

For the second year running, our Offshore RMB Poll surveyed participants on some of the most important topics related to the renminbi’s globalisation. Around 1,600 responses were received — a 60% jump on last year — with those polled giving their views on subjects ranging from Panda bonds to currency depreciation. Lorraine Cushnie reports on the findings.

China welcomed its first pair of non-performing loan securitizations in more than eight years as Bank of China and China Merchants Bank tied up their long-awaited trades on Thursday.

The Shanghai Stock Exchange (SSE) published guidelines for future stock suspensions by mainland-listed companies, removing another roadblock to the inclusion of A-shares in the MSCI indices.

In this round-up, the Shanghai-Hong Kong Stock Connect see steady volumes on its southbound channel, the Sino-German exchange in Frankfurt marks its first six months and HKEX offers new details on its expanded RMB futures. Plus, a recap of GlobalRMB’s top stories this week.

A multi-currency transaction for Sino Horizon Holdings has wrapped up with eight lenders joining mandated lead arranger and bookrunner DBS in the dollar tranche.

Bad debt manager China Huarong Asset Management executed one of the largest dollar-denominated transactions from Asia this year with a $2.5bn triple-tranche offering that was multiple times covered.

Midea Group found a strong following this week for its international debut bond. While the lack of deals from its industry peers posed a challenge in finding comparables, the notes thrived on their rarity value.

China had no problem selling its first offshore renminbi bond outside of Hong Kong as a strong showing from central banks pushed the deal to be more than twice subscribed.