With the approval of China's State Council, the country's National Development and Reform Commission has agreed to allow Chinese steel giant Baosteel Group to be the first Chinese mainland enterprise to issue RMB-based corporate bonds in Hong Kong, as reported by Baosteel Group.
Baosteel intends to use the funds raised from the bond issue to inject additional capital into its overseas subsidiaries.
Meanwhile, the world's three leading credit rating agencies, Moody's, Standard & Poor's and Fitch, have all issued their credit ratings for Baosteel Group's bonds. Accordingly, Baosteel's bonds have been rated ‘triple A', ‘A', and ‘A-‘ respectively by Moody's, Standard & Poor's and Fitch - all with a stable outlook.