Postal Savings Bank of China issues 80 bln yuan of non-fixed term capital bonds

Source: Xinhua | 2020-03-18

The Research InstituThe Postal Savings Bank of China (PSBC), one of China's largest state-owned banks, on Tuesday announced it had issued 80 billion yuan (about 11.43 billion U.S. dollars) of non-fixed term capital bonds with a coupon rate of 3.69 percent.

This is another major move by the lender since its A-share listing in 2019, and it is also the first non-fixed term capital bond issued by a large state-owned bank this year, the China Securities Journal reported.

Established in 2007, the PSBC got listed in Shanghai in December 2019 and Hong Kong in September 2016. It is now one of the six leading state-owned banks in China, which are all listed both on the A-share and H-share markets.

With approximately 40,000 outlets and services covering near 600 million individual customers, the lender focuses on providing financial services to agriculture, farmers and villages, urban and rural residents, and small and medium-sized enterprises.

Kangasharju said that even though the shock on Finnish economy now will match the size of the 2008 financial crisis, ETLA does not expect a rerun.

"The corona crisis began outside the economic branch and the health care system has good possibilities of halting the spread of the virus," he said, adding "The financial system is in better condition than 10 years ago and there are fewer unpredictable factors".