Deutsche Bank Group ("Deutsche Bank") announced on the 5th that it has completed the issuance of the second phase of panda bonds for the year, with an issuance amount of RMB 1 billion and a term of 3 years. The bonds are senior priority bonds. The net proceeds raised from this issuance will be used for the general corporate purposes of Deutsche Bank to support its related business activities and development.
It is understood that this bond is the first panda bond issued by a German issuer after the third Sino German high-level financial dialogue, and also the second related bond issuance after Deutsche Bank's first 1 billion yuan panda bond in January this year. Previously, the People's Bank of China approved Deutsche Bank to issue bonds with a total amount not exceeding RMB 8 billion in installments through the China Interbank Bond Market (CIBM) within two years.
General Manager of Deutsche Bank China Zhu Tong, Chairman of Deutsche Bank (China) Limited, stated: The issuance of Panda bonds by the group once again demonstrates Deutsche Bank's confidence in China's growth potential and our firm commitment to continuously deepening our business in China. As a European funded bank that has long been committed to promoting the internationalization of the renminbi, Deutsche Bank will continue to assist global investors in actively seizing the development opportunities of the Chinese market, and cooperate with the continuous development and opening of the Chinese capital market to further expand the interaction between China and the global market Interconnection
In recent years, with the continuous optimization of regulatory regulations for panda bonds, the panda bond market has attracted more and more international issuers to participate. According to data from the People's Bank of China, the total amount of panda bonds issued in the interbank bond market and exchange market in the first 11 months of 2023 was 139 billion yuan, a year-on-year increase of over 60%, reaching a new high.
At the same time, the function and status of the renminbi as an international financing currency are constantly strengthening. In September of this year, the renminbi has jumped to become the world's second-largest trade financing currency.
Public information shows that Deutsche Bank (China) Limited ("Deutsche Bank China") has a full license for underwriting business in the Chinese interbank bond market, providing comprehensive debt financing solutions for domestic and foreign issuers, and leveraging the advantages of its global service network to play a bridging role in connecting domestic and foreign capital markets.
Since the beginning of 2023, Deutsche Bank China has completed a total of 28 domestic bond issuances with a total underwriting scale of over 25 billion yuan for clients in the interbank bond market, of which five are for the Panda Bond project. Since its launch in 2020, Deutsche Bank China has consistently ranked first among foreign institutions in the annual bond underwriting scale ranking of the China Association of Interbank Market Dealers.
Samuel Fischer, head of China's debt capital market at Deutsche Bank, said: "Under the attraction of stable financing environment and cost advantages, the number of overseas investors and issuers participating in China's debt capital market through Panda Bonds is increasing, and the composition of overseas investors and issuers is also becoming more and more diversified. As one of the leading foreign financial institutions actively participating in the opening and development of China's debt capital market, Deutsche Bank is optimistic about the development prospect and potential of RMB financing, and we will Fully support international issuers' business development and financing needs in China