皇冠体育app

By Ding Qi (chinadaily.com.cn)
Updated: 2007-10-08 16:10

皇冠体育app's central bank further boosted development of the corporate bond market by issuing regulations on bond issuance, transaction, and trusteeship in the inter-bank market, 皇冠体育app Business News reported on Monday.

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According to an announcement made by the People's Bank of 皇冠体育app (PBoC) on September 30, corporate bonds can be floated, traded and can be used to perform registry trust among banks in the inter-bank market as long as certain procedures are followed.

The paper quoted an official with the chief lender as saying that PBoC will not impose any other examination on the bonds' issuance once they are approved by other regulators. In addition, corporate bonds already in circulation in the bourses can be accessed via the inter-bank bond market according to certain rules.

Except for currently available transactions like spot trading, collateralized repurchases, and buyout repurchases, investors can also conduct lending and derivatives trading of corporate bonds in the inter-bank market, according to PBoC's announcement.

The announcement also asked intermediary agencies and market makers to take relevant measures in facilitating the circulation of corporate bonds in the inter-bank market. Institutional traders like commercial banks are also encouraged to underwrite or invest in the bonds.

At present, the 皇冠体育app Securities Regulatory Commission is in charge of approval and market supervision of corporate bonds.

Early in September, 皇冠体育app Yangtze Power successfully floated the first batch of corporate bonds in 皇冠体育app. As firms' financing needs grows with the nation's economy, more corporate bonds are likely in the near future.