The central government has announced it will issue treasury bonds worth five billion yuan in Macao on 30 October, as part of an effort by the Ministry of Finance to support the SAR’s economic diversification.
The move is also being viewed as part of the mainland’s broader stimulus strategy, given its current economic challenges, the Macau Daily Times reports.
Beijing has unveiled a number of sweeping stimulus measures since late September, targeting the ailing property sector and consumer spending in the hope of reaching its growth target for 2024.
[See more: Macao and Hong Kong are linking their bond markets]
This will be the third issuance of yuan-denominated bonds in Macao, following similar initiatives in 2023 and 2022. Last year’s distribution was also worth five billion yuan, while 2022’s was worth three billion yuan.
The ministry noted that this latest issuance would improve the issuance mechanism, help consolidate the foundation of Macao’s existing bond market, and offer investors a stable and secure investment option.
Macao’s government is actively working to grow the local bond market, with financial services forming a key part of the SAR’s plan to diversify its economy and reduce its dependence on casinos.
