CX Briefing: Panda Bond Bonanza Emerges in First Half

A rundown of the news making headlines in and around China:

Panda bond bonanza: China’s low interest rates and the yuan’s stability are enticing foreign entities to issue yuan-denominated debt at a blistering pace. Issuance of “panda bonds” is on track to top 15 billion yuan ($2.1 billion) in July, more than double the amount from the same period in 2024. International investors are also keen to buy the debt, seeing it as a safe choice — especially amid U.S. policy swings. The trend looks set to not only continue but broaden, as both Pakistan and Brazil have signaled their intent to issue sovereign panda bonds later this year. This is expected to cheer policymakers in Beijing, who have long sought to internationalize the yuan.