Hong Kong Monetary Authority Revives 3-Year Government Bonds – A Strategic Move for 2025

Hong Kong doubles down on traditional finance with a twist—just as crypto starts eating their lunch.

The Hong Kong Monetary Authority (HKMA) is dusting off its bond playbook, reopening 3-year government debt instruments in a bid to lure capital back into conventional markets. Because nothing says 'stable returns' like sovereign debt in a digital asset era.

Why now? Liquidity needs a lifeline.

With global yields fluctuating and crypto ETFs sucking dry fiat pipelines, HKMA’s bond revival feels like a defensive pivot. Three-year maturities offer just enough time for investors to forget today’s rate volatility—or for regulators to crack down on DeFi alternatives.

The cynical take: Bonds are governments’ last stand against decentralization. But hey, at least they’re trying.

The Hong Kong Monetary Authority (HKMA), acting on behalf of the Hong Kong Special Administrative Region Government, has announced the reopening of its 3-year HKD Institutional Government Bonds. The tender is scheduled for Wednesday, July 23, 2025, with settlement on the following day, according to the Hong Kong Monetary Authority.

Tender Details

The re-opening involves an additional issuance of HK$2.0 billion for the existing 3-year Government Bond, known by its issue number 03GB2804001. These bonds are set to mature on April 25, 2028, and carry an interest rate of 2.76% per annum, payable semi-annually. The indicative pricing as of July 17, 2025, was 101.77, yielding an annualised return of 2.109%.

Eligibility and Application Process

Participation in the tender is restricted to Primary Dealers designated under the Infrastructure Bond Programme. Interested parties must submit applications through these dealers, with each tender requiring a minimum of HK$50,000 or multiples thereof. A list of eligible Primary Dealers can be accessed via the Hong Kong Government Bonds website.

Publication and Trading

The results of the tender will be disclosed on multiple platforms, including the HKMA’s website, the Hong Kong Government Bonds website, Bloomberg, and Refinitiv, by 3:00 pm on the tender day. The bonds will be fully fungible with those already listed on the Stock Exchange of Hong Kong under the stock code 4291.

Utilization of Proceeds

The proceeds from this bond issuance will be directed towards infrastructure projects, aligning with the Infrastructure Bond Framework. This initiative is part of the broader strategy to support sustainable development within the region.

• hkma
• government bonds
• hong kong