The central government has officially launched the issuance of RMB 6 billion in treasury bonds in Macao today, as jointly announced by the Ministry of Finance and the Macao Special Administrative Region government.

According to the announcement, this bond issuance features a more diversified maturity structure, which is expected to strengthen the regular issuance mechanism and offer investors a broader range of safe and stable RMB-denominated investment options. This move is also set to play a constructive role in enhancing the Macao bond market ecosystem and fostering greater connectivity between Macao, the mainland, and international markets.

Where to begin

Tian Lihui, a finance professor at Nankai University, noted that the direct linkage between the Hong Kong and Macao bond markets established last year has already provided international investors, including those from Portuguese-speaking countries, with a convenient channel to participate. Following this issuance, overseas investors will be able to subscribe through this interconnected system without needing to open a separate account in Macao.

The central government first issued RMB 2 billion in sovereign bonds in Macao in 2019, and subsequent issuances have become increasingly regular. From 2022 to 2025, the issuance volumes were RMB 3 billion, RMB 5 billion, RMB 5 billion, and RMB 6 billion, respectively, bringing the cumulative total to RMB 27 billion after today's offering.

Xie Zhijian, head of the debt capital markets team at Bank of China's Macao Branch financial markets department, highlighted that Macao's significance as an emerging offshore financial hub continues to grow, demonstrating its active role in supporting the international use of the RMB. This issuance maintains the record for the largest single offering in Macao's bond market to date, serving as a notable benchmark and catalyst for overall market expansion.

With broad participation from investors across various regions and increasing diversification, the issuance is expected to boost liquidity in the secondary market for offshore bonds. It also provides a critical pricing reference for offshore RMB assets, thereby strengthening international investors' confidence in holding RMB-denominated instruments.