15-year HKD government bond tender yields 3.313 percent
The Hong Kong Monetary Authority announced the results of its 15-year HKD institutional Government Bonds tender today. The HK$1.0 billion offering received HK$4.460 billion in applications, resulting in an average yield of 3.313 percent.
Tender oversubscribed by 4.46 times
The tender for HK$1.0 billion in 15-year HKD institutional Government Bonds, a re-opening of issue number 15GB3912001 (Stock Code 4287), attracted substantial investor interest.
The Hong Kong Monetary Authority received tender applications totaling HK$4.460 billion, leading to a bid-to-cover ratio of 4.46. The average price accepted for the bonds was 105.06, which translates to an annualised yield of 3.313 percent.
The lowest accepted price stood at 104.76, corresponding to a yield of 3.340 percent.
Approximately 88 percent of applications were allotted on a pro-rata basis.
These bonds carry a coupon rate of 3.75 percent and are set to mature on 5 December 2039, with issue and settlement scheduled for 23 April 2026.
Infrastructure Bond Programme
The tender was conducted under the HKSAR Government's Infrastructure Bond Programme, managed by the Hong Kong Monetary Authority.
This programme aims to finance public infrastructure projects and foster the development of the local debt market.
The re-opening mechanism allows for the issuance of additional tranches of existing bonds, providing liquidity and depth to the market.
The successful tender reflects continued investor confidence in HKSAR Government bonds and the stability of Hong Kong's financial markets, supporting the government's long-term funding objectives.