China

State Bank of India, the country’s biggest bank, made an impressive debut in the Malaysian ringgit bond market this week, overcoming the extreme volatility in global markets.

AmBank, the Malaysian lender, announced an unusual subordinated bond issue yesterday (Thursday) and is looking to raise S$200m ($144m) in Singapore’s domestic bond market.

Malaysia’s bond market held up well this week, leading to hopes of more big new issues to come — despite volatile conditions in the stockmarket since last weekend’s shock election result.

Asia’s local currency bond markets took on new importance this week as the US Federal Reserve’s bid to improve liquidity triggered little more than a bounce in global credit markets.

Japan Bank for International Cooperation, Japan’s state-backed bank, sold a $500m five year bond on Wednesday via lead managers JP Morgan and Merrill Lynch. JBIC priced the bond at 99.554 off a coupon of 3.375%. That was a spread of 89.3bp over Treasuries, in line with guidance of 6bp below mid-swaps.

Export-Import Bank of China, the Chinese policy lender, is considering a second visit to Hong Kong’s nascent renminbi bond market, according to comments made by its governor Li Ruogu this week.

The Export-Import Bank of Korea priced its debut ringgit-denominated bond on schedule last Friday (February 29) in a deal that sets a precedent for the host of other issuers hoping to tap the Malaysian market.

Chartered have both received licences to underwrite Chinese government bonds, adding to the number of foreign banks authorised as primary dealers in China’s domestic market.