Tender for HK$1.2 billion 2-year Exchange Fund Notes announced

The Hong Kong Monetary Authority (HKMA) has announced a tender for 2-year Exchange Fund Notes, scheduled to take place on 20 February 2026, with the official settlement date set for 23 February 2026. This issuance is a routine operational measure, specifically designed to roll over an existing series of 2-year Exchange Fund Notes that will mature on the same settlement day.

A total of HK$1,200 million worth of these 2-year Notes will be made available for subscription.

A dedicated portion of HK$5 million from this total is reserved for non-competitive tender bids, allowing members of the public to participate through the Hong Kong Securities Clearing Company Limited (HKSCC).

Should the non-competitive portion be undersubscribed, the remaining amount will be reallocated to the competitive tender segment, which initially stands at HK$1,195 million.

These notes are structured to mature on 23 February 2028 and will provide an annual interest rate of 2.23 percent, with payments distributed semi-annually in arrears, ensuring a steady return for investors.

The application process for the 2-year Exchange Fund Notes is clearly defined for all participants.

Members of the public can submit non-competitive tender bids through Stock Exchange Participants/Brokers, or directly via HKSCC if they hold Investor Accounts in the Central Clearing and Settlement System (CCASS).

For competitive tender applications, bids must be submitted through any of the HKMA's appointed Eligible Market Makers, with their current list available on the HKMA's website.

Each tender, regardless of type, must be for an amount of HK$50,000 or integral multiples thereof.

The tender results will be published on the HKMA's website, Refinitiv (HKMAOOE), and Bloomberg, ensuring transparency for all applicants.