Hong Kong government said to issue multi-currency digital green bonds again, raising nearly HK$20 billion

The Hong Kong government is said to have issued multi-currency digital green bonds again. According to sales documents, the latest batch of unsecured senior green bonds will be denominated in US dollars, Hong Kong dollars, euros, and offshore renminbi, raising nearly HK$20 billion, making it the largest issuance of its kind globally. The four batches of digital green bonds include HK$5.5 billion in Hong Kong dollar bonds with a coupon rate of 3.8% and a tenor of 2 years; US$200 million in US dollar bonds with a coupon rate of 5% and a tenor of 3 years; EUR450 million in euro bonds with a coupon rate of 3.625% and a tenor of 4 years; and RMB7.5 billion in renminbi bonds with a coupon rate of 1.65% and a tenor of 5 years. Chief Executive John Lee Ka-chiu earlier stated in his Policy Address that from 2025 to the first half of 2026, digital bonds issued by Hong Kong will account for nearly 50% of the global market. The Hong Kong government said it plans to use digital currency for settlement and explore blockchain-based dividend payment and redemption processes.