Bank of China has listed two billion Chinese Yuan ($322 million; Dh1.18 billion) bond on Nasdaq Dubai.
The total nominal value of all conventional bonds listed on Dubai’s exchanges has reached $11.64 billion, the largest total of any exchange in the region.
The bank will use the capital raised to support cross-border trade and infrastructure activities linking various regions of the globe under China’s ‘One Belt, One Road’ strategy.
Tian Jun, General Manager, Bank of China Abu Dhabi Branch, rang the market-opening bell to mark the listing.
The bell ceremony took place in the presence of Essa Kazim, Governor of Dubai International Financial Centre, DIFC, and Chairman of Dubai Financial Market DFM, Li Lingbing, Consul-General of the Chinese Consulate in Dubai, and Abdul Wahed Al Fahim, Chairman of Nasdaq Dubai.
Jun said: "If you connect the five branches chosen as issuers, Hong Kong, Taiwan, Singapore, Abu Dhabi and Hungary, they represent the new Silk Road. It clearly illustrates the main purpose of this issue, and that is to boost financial and trade ties China and 65 countries alongside the Belt and the Road. The successful listing on Nasdaq Dubai shows international investors’ confidence in the huge opportunities that our Belt and Road initiative brings to UAE."
Bank of China raised about $4 billion from the international bond markets from its tranche of bond issues.
The multi-currency bonds consist of four currencies comprising Renminbi, Singapore Dollars, US Dollars and Euros, ranging from 2-15 years, and are the first bonds ever issued in support of China’s ‘One Belt, One Road’ initiative.