DITCHING THE DOLLAR: Canadian Province Issues $2.5 Billion in Chinese Yuan Bonds, Russian Lawmaker Pushing to Make Accepting US Dollar Illegal, Billionaires Around The World Are Bailing Out Of The Dollar
November 15th, 2013
THIS IS AS CLEAR A WARNING TO EVERYONE AS I’VE SEEN TO DATE
(Beijing) – Canada’s western province of British Columbia said on November 5 it had completed the issuance of one-year offshore yuan-denominated bonds and raised 2.5 billion yuan.
This is the first time a foreign government has issued offshore yuan bonds. Mike de Jong, finance minister of Canada’s westernmost province, said officials had intended to raise only 500 million yuan but the bonds were largely oversubscribed.
Central banks and foreign institutions snapped up 62 percent of the bonds. Fund asset managers bought 18 percent. Investors in Hong Kong took 46 percent of the bonds, and 40 percent went to U.S. investors.
The bonds carry a yield of 2.25 percent. This is 10 to 15 basis points lower than bonds sold by the Chinese government, said HSBC, the sole book runner of the issuance. The bonds will be listed in Luxembourg.