With the support of the Ministry of Finance of the People’s Republic of China and the People’s Government of Shenzhen Municipality, the Shenzhen Government will issue its first offshore RMB-denominated municipal government bonds in Macao during early September, with an expected issuance size of RMB 1 billion of green bonds dedicated to combating climate change. All bonds will be offered exclusively to professional investors.

The Monetary Authority of Macao welcomes the first issuance of the municipal government bonds by Shenzhen Government in Macao. After the issuance of Chinese sovereign bonds and Guangdong municipal government bonds in Macao, this issuance constitutes another major initiative to expedite the cultivation of the bond market in Macao. These initiatives demonstrate the great importance attached by and the strong support from the Central Government and Shenzhen Government in the development of Macao’s modern financial business, while advancing the appropriate diversification of the economy. The Monetary Authority of Macao expresses sincere gratitude to the Central Government and the People’s Government of Shenzhen Municipality for their support.

Against the backdrop of the continued deepening financial cooperation in the Guangdong-Hong Kong-Macao Greater Bay Area, the first issuance of offshore RMB municipal government bond by the Shenzhen Municipalityin Macao is a new breakthrough for the Shenzhen-Macao cross-boundary financial cooperation, it also marks another major milestone in the development of Macao’s bond market. The issuance will further broaden product mix and encourage more issuers to bring green instruments to bond market in Macao, thereby facilitating the synergistic development of green and sustainable finance in the Greater Bay Area through the joint efforts by Shenzhen Municipalityand Macao.