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China chalks up symbolic victory by persuading World Bank to issue low-yield SDR bonds
The World Bank will next week launch a bond in China which is denominated in the International Monetary Fund’s special drawing rights (SDR) and can be repaid in Chinese renminbi. The first of its kind, the bond comes ahead of the Chinese central government hosting a gathering of the leaders of the world’s 20 largest economies. “The bond issuance comes at a time when China is about to host the G20 and when the yuan is about to become part of the SDR,” said David Yim, head of debt capital markets, Greater China for Standard Chartered. However, the bond, which will be issued in China’s onshore interbank bond ... (full story)