Bonds Apr 13

China's Bond Connect program reports ‘robust business’

March trading volume at $68.3bn on market access platform despite coronavirus

by Nadeem Xu
China's Bond Connect program reports ‘robust business’

(ATF) – Trading volume under China's Bond Connect programme in March reached 478.2 billion yuan ($68.3bn), according to the China Foreign Exchange Trade System (CFETS).

In spite of the global coronavirus outbreak, the programme has been operating “in a robust manner”, with headway in both primary and secondary markets, the CFETS noted in its monthly report.

More than 5,000 trade tickets were generated in the month, with an average daily turnover of 21.7bn yuan, the report claimed.

Policy financial bonds and treasury bonds accounted for 50% and 30 % of the total trading volume, respectively. Turnover of trading in negotiable certificates of deposit accounted for 16% of volume, according to CFETS.

The Bond Connect programme, launched in July 2017, is a mutual market-access scheme that allows overseas investors to invest in the Chinese mainland's interbank bond market using financial institutions on the mainland and in Hong Kong.