Key insights
- China plans to maintain the tenor of ultra-long special treasury bonds at 20, 30, and 50 years, and special bonds for state-owned banks at 5 and 7 years. While this signals continued fiscal support, the limited change from the prior year suggests a lack of aggressive new stimulus, potentially weighing slightly on global growth expectations and commodity demand, indirectly impacting US equities.
April 16 (Reuters) - China’s finance ministry will keep this year’s ultra-long special Treasury bond issuance to 20-, 30- and 50-year maturities, the same as last year, sources told Reuters on Thursday.
The people also said a separate batch of special bonds aimed at boosting the core tier 1 capital of large state-owned commercial banks will come in five- and seven-year tenors, unchanged from last year. The sources declined to be identified because they were not authorised to speak to the media.
The ministry did not immediately respond to a request for comment.