Facing the market headwinds caused by tight liquidity, the Bank adopted a flexible strategy in cost control and diversified channels for debt issuance in 2013. CDB issued a new record high of RMB 1,240.08 billion in yuan-denominated bonds. The Bank also piloted a first-ever bond sale of RMB 12 billion on the Shanghai Stock Exchange to individual investors, who, in turn, were enabled to make direct investment in the debt market. In addition, the Bank issued its first interbank negotiable certificates of deposit (NCDs), in the amount of RMB 3 billion, and launched a basket of floating-rate bonds, improving the yield curve construction and liquidity position in the interbank market. Meanwhile, the Bank expanded its investor base and continued to issue dim sum bonds in Hong Kong, raising RMB 4.5 billion, including the first CNH HIBOR (Hong Kong Interbank Offered Rate)-benchmarked 2-year floater, which attracted subscriptions from overseas monetary authorities. Another "first" for the Bank was an offering of over RMB 0.5 billion in private placements to investors in the ASEAN region to assist in the cooperative building of investment and financing systems in Asia. After a lapse of three years, the Bank's retap of foreign currency debt issues of USD 865 million created China's largest single issuance of foreign-denominated financial debts. This also helped augment the Bank's fuding for its international business.
Note: Due to a change in statistical criteria, the amount of debt issuance for 2007 is shown RMB 5.0 billion higher than previously reported.
Note 1: Source: www.chinabond.com.cn, www.shclearing.com, www.chinaclear.cn.
Note 2: Onshore issues only.
In 2013, the Bank continued to promote the use of Shibor (Shanghai Interbank Offered Rate) in ask and bid prices, which effectively helped the construction of Shibor-benchmarked yield curve. Its annual trading volume reached RMB 26 trillion in 2013. The Bank won the first place in cash bond trading for the fourth consecutive year and remained a front-runner in interest rate swap business. Meanwhile, it was ranked among the "Top 100 Dealers of Interbank Yuan Trading". The Bank actively carried forward cross-border yuan-bond trading, amounting to a total volume of over RMB 10 billion.