国产精品99一区二区三_免费中文日韩_国产在线精品一区二区_日本成人手机在线

Economic Watch: Milestone inclusion of Chinese bonds marks accelerating financial opening-up

Source: Xinhua| 2019-04-01 22:06:26|Editor: Yurou
Video PlayerClose

BEIJING, April 1 (Xinhua) -- Starting Monday, China's yuan-denominated bonds will be added to the Bloomberg Barclays Global Aggregate Index, another milestone in the opening up of the country's financial market and a boon for global investors.

A total of 356 government and policy bank bonds will be added into the index over the next 20 months, making Chinese bonds the fourth largest currency component, following the U.S. dollar, euro and Japanese yen, after their full inclusion.

When fully implemented, China will be approximately 6.06 percent of the index, using data as of January 31 this year, according to Steve Berkley, head of indices at Bloomberg.

The inclusion marks the latest step in opening China's financial market to global investors. Last year, the country's yuan-denominated A-shares were included in the MSCI Emerging Markets Index, giving overseas investors greater access to its equity market. It also launched a Bond Connect program in 2017, which enables overseas investors to invest in the Chinese mainland's interbank bond market using financial institutions of the mainland and Hong Kong.

The Bloomberg Barclays Global Aggregate Index inclusion "represents an important milestone for China as it continues to strengthen and liberalize its capital market and looks to attract more international investors," said Mark Leung, CEO of J.P. Morgan China.

Valued at over 12 trillion U.S. dollars, China's domestic bond market is the world's third largest and set to become even larger, Leung said.

Despite its massive size and potential, the country's bond market remained relatively less penetrated by global investors, analysts say. This, however, has begun to change.

According to the People's Bank of China, the central bank, overseas holdings of the country's bonds totaled nearly 1.8 trillion yuan (about 267.86 billion U.S. dollars) at the end of 2018, equivalent to 2 percent of total outstanding onshore bonds and surging 46 percent from a year earlier.

As the Bloomberg Barclays Global Aggregate Index is widely tracked by global asset managers, the inclusion will lead to an inflow of overseas investment into the market.

"That step both reflects the importance of those bonds in foreign portfolios and will likely encourage more purchases of those securities going forward," said Changyong Rhee, IMF's director of the Asia and Pacific department.

Moody's forecasts that a full inclusion could potentially lead to an inflow of about 2 trillion dollars of funds.

According to the government work report delivered last month, China will further open up its financial sector and improve policies to open the bond market.

As the country further opens up its bond market, other major global bond benchmarks may follow suit.

China was placed on a watch list for the J.P. Morgan Emerging Markets Government Bond Index Global Diversified in 2016. J.P. Morgan will survey investor sentiment for inclusion at its annual index governance meeting this summer.

TOP STORIES
EDITOR’S CHOICE
MOST VIEWED
EXPLORE XINHUANET
010020070750000000000000011100001379413371
主站蜘蛛池模板: 长顺县| 菏泽市| 丰都县| 镇赉县| 齐河县| 福海县| 故城县| 榆社县| 河曲县| 西吉县| 榆林市| 马公市| 平安县| 玉田县| 屏东市| 延安市| 英吉沙县| 利川市| 建昌县| 凤庆县| 上饶市| 灯塔市| 遂溪县| 宁安市| 晴隆县| 察哈| 长汀县| 江油市| 古浪县| 阿拉善右旗| 江西省| 新津县| 六枝特区| 南充市| 平塘县| 上犹县| 东辽县| 城固县| 博罗县| 东台市| 游戏|