The Event of International Experience in Local Government Bond Issuance Concluded Successfully in Beijing
On November 9, China Central Depository & Clearing Co., Ltd. (hereinafter referred to as "CCDC") and International Capital Market Association (ICMA) successfully held the Event of International Experience in Local Government Bond Issuance in Beijing. LIU Fan, Vice President of CCDC, attended and addressed the event. More than 60 representatives from 28 bond-issuing Finance Departments (Bureaus) across the country participated in the event.
LIU Jianguang, Director of Treasury Bond Issuance & Redemption Division, Treasury Department of Ministry of Finance, gave a themed lecture titled "Management of China’s Local Government Bond". Edgar Kresin, Head of Treasury in Ministry of Finance of Sachsen-Anhalt State of Germany, Samuel Fischer, Head of China Debt Capital Market and Deputy Manager of Beijing Branch ofDeutsche Bank (China), Ivan Chung, Associate Managing Director of Moody’s Investors Service (Hong Kong ),Amanda Du, Senior Analyst Sub-Sovereign Group of Moody’s Shanghai office, Hanwen Yu, Solicitor of Linklaters Hong Kong office, Ricco Zhang, Director of ICMA (Asia Pacific), GU Qing, Deputy General Manager of Financial Markets Department Shanghai Office of Agricultural Bank of China, and LIAO Yuan, General Manager of CECEP Hundred Corporation, delivered a series of speeches on topics concerning the issuance of local government bonds.
As local government bond issuance in China evolved through three stages of "Delegate Issuance-Delegate Repayment", "Self Issuance-Delegate Repayment" and "Self Issuance-Self Repayment", all 36 domestic issuers now can conduct bond issuance in an all-round way. Under the vigorous promotion of regulatory authorities, the local government bond system has been continuously strengthened, the issuance has been more and more market-oriented, the scale and the transparency of issuance has been enhanced, more investment entities have entered the market, the liquidity of the market has been improved, and the market has seen a fast development these years. According to the statistics released by CCDC, as of the end of October this year, the total issuance of local government bonds reached 3.87 trillion Yuan in 2017, and the amount of local government bonds under depository reached 14.19 trillion yuan, making it the largest segment in China’s bond market.
CCDC, as an important national financial infrastructure approved by the State Council, is the core platform for the operation of China bond market, implementation platform of national macro-control policies,benchmark pricing and risk management platform for financial markets, versatile financial market service platform, and platform of bond market innovation and opening up. Under the leadership of the regulatory authorities, CCDC actively supports the local government bond market and provides full life-cycle services such as issuance, registration, depository, settlement, interest payment and redemption, and information services.
The Event of International Experience in Local Government Bond Issuance gathered experts from a full spectrum of the industry, including regulators, issuers, underwriters, law firms and rating agencies, both from China and abroad. In addition to advocating the international experience in local government bond issuance, the participants made in-depth communications on the management of local government bond issuance and beneficial discussions on the future reform and development of China’s local government bond market.