Deutsche Bank has once again assisted China's Ministry of Finance (MoF) in pricing a two-billion-euro International Sovereign Bond issuance with three and seven-year tranches. The bank served as both joint lead manager and bookrunner on this transaction.

This offering marked China's return to the euro bond market, following its previous sale in 2021, and sets a new pricing standard for Chinese corporate offshore bond issuances. It is also Deutsche Bank's eighth straight overseas sovereign bond mandate from the MoF since 2017.

The bond was 8.1 times oversubscribed, attracting a wide range of global investors, including central banks, sovereign wealth managers, multilateral institutions, and development banks from established and emerging economies, as well as European fund managers.

Rose Zhu, Deutsche Bank China Chief Country Officer stated: “We are proud to facilitate MoF issuing its first benchmark-setting offshore sovereign in recent years and improve the Euro yield curve for the China sovereign. This is another testimony to the attractiveness of China’s assets to international investors and a demonstration of China’s economic resilience. Deutsche Bank will continue to play to our strength in cross-border debt financing to enhance the global connectivity of China’s fixed income market.”

Samuel Fischer, Deutsche Bank's Head of China Onshore Debt Capital Markets added: “The bond was very well received by global investors, both sovereign and institutional fund managers, and came after a string of monetary policy easing and stimulus measures were announced earlier on Monday which lifted market sentiment and saw China stock benchmarks rally. This issuance will further enhance global appetite for China bonds and diversify offshore financial channels for Chinese issuers to extend their international investor outreach.”

Moreover, Deutsche Bank has been instrumental in China's ongoing capital market reform.

The bank is a key institution in China's debt capital markets and is completely dedicated to supporting RMB internationalisation through active engagement in both onshore and offshore markets.

"Deutsche Bank assists China’s Ministry of Finance" was originally created and published by Retail Banker International, a GlobalData owned brand.

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