Each month passes and the headlines are clear, the renminbi, China’s closely monitored currency is gaining steam on its long planned road to internationalization. The path will see to the currency be held on the same pedestal as the USD, Pound and Euro.
Reuters is reporting that Britain began to take orders for its first government bond denominated in renminbi on Tuesday, after finance minister George Osborne announced plans for the issuance last month.
The finance ministry said in September that the three-year bond was likely to have a size of around 2 billion yuan (203.23 million pounds), and would be used to finance Britain’s foreign reserves.
An investor presentation on Monday suggested that Britain expected the bond – the first from a Western government – would offer a yield of around 2.7%.
“Further details of the transaction will be announced once the issuance process is complete,” a ministry spokesman said.