Hong Kong secures US$3.5 billion to fund Northern Metropolis and green projects
Orders hit 8.6x the offer size as investors from 30+ markets pile in.
Hong Kong has successfully raised HK$27.6 billion (US$3.5 billion) via a multi-currency green and infrastructure bond sale, signaling strong global investor confidence in the city's development plans. The issuance, announced by the Hong Kong Monetary Authority on Friday, drew orders totaling approximately HK$239 billion—8.6 times the offer size—from more than 30 markets including Asia, Europe, the Middle East and the Americas. Financial Secretary Paul Chan Mo-po stated the bonds will finance key infrastructure projects, primarily the Northern Metropolis, and support low-carbon transformation, further consolidating Hong Kong's position as a green and sustainable finance hub.
The deal comprised five tranches across four currencies: a HK$3 billion 30-year infrastructure bond at 3.95%, two renminbi tranches of 6 billion yuan each (20-year at 2.6% and 30-year at 2.7%), a US$500 million five-year infrastructure tranche at 4.052%, and a €750 million eight-year green tranche at 3.119%. The bonds were priced after a virtual roadshow on May 6 and are expected to settle on May 14, with listings on both the Hong Kong Stock Exchange and the London Stock Exchange.
- Total raised: HK$27.6 billion (US$3.5 billion) with orders 8.6 times oversubscribed at HK$239 billion.
- Five tranches across four currencies: HKD (30yr at 3.95%), CNY (20yr at 2.6%, 30yr at 2.7%), USD (5yr at 4.052%), and EUR (8yr green at 3.119%).
- Investors from over 30 markets across Asia, Europe, Middle East, and Americas participated; bonds listed on HKEX and London Stock Exchange.
Why It Matters
Strengthens Hong Kong's green finance leadership while funding critical infrastructure and low-carbon projects.