The Export-Import Bank of Korea (Korea Eximbank) announced on July 8 that it has successfully issued a total of $700 million through the issuance of a Wanthang bond and a Sterling bond.
On the previous day, Korea Eximbank became the first domestic institution to issue a Wanthang bond, a Hong Kong dollar-denominated public offering bond, in the Hong Kong capital market. The bond has a maturity of three years and an issuance amount of 2.4 billion Hong Kong dollars (approximately $300 million).
The final coupon rate was set at 2.969% per annum. Despite being Korea Eximbank's first Wanthang bond issuance, the bank emphasized that it achieved a competitive rate compared to U.S. dollar bonds.
A Korea Eximbank official stated, "We have established our presence as an SSA (sovereign, supranational, and agency) issuer in the Wanthang market, which has been formed mainly by international organizations," and added, "This will serve as a catalyst for other domestic financial institutions to enter the Hong Kong public bond market in the future."
Separately, on July 1, Korea Eximbank also issued a Sterling bond worth 300 million pounds (approximately $400 million) in the London capital market. The bond has a maturity of three years and four months.
The official added, "Successfully raising funds in both the London and Hong Kong markets within a one-week interval has once again demonstrated the external credibility of both Korea Eximbank and the new government of the Republic of Korea."
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