FINANCE

Two Sessions: China to Issue 300 Billion Yuan Bonds to Boost Big State Banks

Published: Mar. 5, 2026 5:28 p.m. GMT+8

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China plans to issue 300 billion yuan ($43 billion) in special sovereign bonds to replenish the capital of major state-owned banks, Premier Li Qiang said Thursday at the opening of the country’s annual legislative session.

The plan, outlined in the government work report, signals Beijing’s effort to strengthen major banks.

The issuance follows a larger program announced last year. In the 2025 work report, Li proposed 500 billion yuan in special sovereign bonds to boost bank capital. Four of China’s “Big Six” state-owned banks later unveiled plans to raise a combined 520 billion yuan, with the Ministry of Finance subscribing to 500 billion yuan of that total.

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China will issue 300 billion yuan ($43 billion) in special sovereign bonds to replenish major state-owned banks, as announced by Premier Li Qiang.
A larger issuance of 500 billion yuan is planned for 2025, with four major banks planning to raise 520 billion yuan.
The government also aims to address risks at small and midsize financial institutions under market and legal principles.

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Who’s Who

Ministry of Finance of the People's Republic of China: The article mentions that the Ministry of Finance of the People's Republic of China subscribed to 500 billion yuan of a special sovereign bond issuance. This was part of a larger plan to boost bank capital and support major state-owned banks, as outlined in the government's work report.

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What Happened When

2025：: A larger program was announced in the 2025 government work report, proposing 500 billion yuan in special sovereign bonds to boost bank capital.

After 2025 work report：: Four of China’s 'Big Six' state-owned banks unveiled plans to raise a combined 520 billion yuan, with the Ministry of Finance subscribing to 500 billion yuan of that total.

March 5, 2026：: Premier Li Qiang announced plans to issue 300 billion yuan in special sovereign bonds to replenish the capital of major state-owned banks at the opening of China's annual legislative session.