Yuan, Hong Kong dollar bonds surge as issuers seek cheaper funding amid rising US costs

Hong Kong and mainland China are set to see continued growth in bond issuance denominated in Hong Kong dollars or the yuan through the rest of the year, as issuers reduce their reliance on US dollar-denominated bonds and seek cheaper funding costs, according to a senior executive at Standard Chartered Bank. “As US dollar funding costs have increased, many bond issuers” have been turning to bonds denominated in other currencies to secure lower borrowing costs, said David Yim Sau-king, head of...