Yuan-denominated Hungarian government bonds issued in April 2016 through the experts of the London Stock Exchange and the Bank of China are now also being traded in the capital city of the United Kingdom, Minister for National Economy Mihály Varga said, after he had opened the trading day on the London Stock Exchange.
The Minister said that it was a sign of trust that it had been Hungary that issued Yuan-denominated government bonds as the very first country in the Central and Eastern European region. The issuance was two-and-a-half times oversubscribed, he added. The transaction has been an integral part of the Hungarian Government’s debt management strategy. Under this, the government debt-to-GDP ratio has been falling, together with the amount of payable interest and the share of forex debt. The majority of funding for the financing of debt which matures this year will be obtained through the forint bond market, he said.
The issuance of Yuan bonds was also a sign that Chinese-Hungarian relations are becoming ever more versatile and also stronger, he stressed.
Mihály Varga also stated it made him proud that the shares of several Hungarian or Hungary-based companies were also being traded on the London Stock Exchange, which enterprises ranged from aviation and financial services to the real estate and info-communication sectors.
(Ministry for National Economy)
