China Development Bank said on Monday that it has received approval from the central bank to issue Renminbi bonds in Hong Kong, and that it would be the first mainland bank to offer such bonds.

The bank did not reveal the amount of the bonds it will issue and when.

The Import and Export Bank of China, Bank of China and China Construction Bank have earlier announced they were considering issuing Renminbi bonds in Hong Kong.

Last Friday China issued a regulation that would allow policy and commercial banks to issue Renminbi bonds in Hong Kong.

Banks hoping to issue Renminbi bonds in Hong Kong must submit applications to the central bank which will be reviewed by the National Development and Reform Commission.

A central bank official said the Renminbi bonds would increase Hong Kong residents' Renminbi investment choices and expand Renminbi business in Hong Kong.

By the end of April, 38 Hong Kong banks had opened Renminbi businesses with total deposits having reached 25.5 billion yuan.

Source: Xinhua