Ted Hisokawa
Nov 05, 2025 11:06
The Hong Kong Monetary Authority has successfully completed the tender for 10-year HKD HKSAR Institutional Government Bonds, with a bid-to-cover ratio of 5.45.
The Hong Kong Monetary Authority (HKMA) has announced the successful completion of a tender for 10-year Hong Kong Dollar (HKD) institutional government bonds. The tender, which took place on November 5, 2025, saw significant interest from investors, according to the HKMA.
Strong Demand for Government Bonds
A total of HK$1.0 billion in 10-year government bonds were offered, with the tender receiving applications totaling HK$5.448 billion. This high level of interest resulted in a bid-to-cover ratio of 5.45, indicating strong demand for the bonds. The average price accepted was 102.55, translating to an annualized yield of 2.888%.
Details of the Bond Issue
The bonds were issued under the Infrastructure Bond Programme, with the issue number 10GB3507001. The bonds, which carry a coupon rate of 3.17%, are set to mature on July 24, 2035. The issue and settlement date for the bonds is November 6, 2025.
Key Metrics and Investor Participation
The lowest price accepted for the bonds was 102.45, resulting in a yield of 2.899%. The pro-rata ratio was approximately 92%, while the average tender price stood at 100.73, with a yield of 3.105%.
The auction’s success underscores continued investor confidence in Hong Kong’s financial instruments, amidst global economic uncertainties. The robust participation reflects market participants’ trust in the stability and reliability of Hong Kong’s bond market.
The HKMA, representing the Hong Kong Special Administrative Region Government, remains committed to maintaining transparency and efficiency in its bond issuance processes, ensuring that the market remains informed and engaged.
For more details, please refer to the official announcement from the Hong Kong Monetary Authority.
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