Hong Kong is set to raise HK$20 billion (US$2.7 billion) from its second batch of retail infrastructure bonds, providing residents with another opportunity to participate in the city's long-term development. The three-year bonds will offer a guaranteed minimum interest rate of 3.5%, making them an attractive investment option for Hong Kong's citizens.

Empowering Hong Kong's Residents to Invest in Their Future

Steady Returns and a Sense of Participation

The retail infrastructure bonds are designed to provide Hong Kong residents with a safe and reliable investment option that offers steady returns. The bonds will pay half-yearly interest based on the average rate of the consumer price index over the three-year period, ensuring that investors' returns keep pace with the cost of living. This not only offers financial security but also instills a "sense of participation" and a "sense of gain" in the city's infrastructure projects, fostering a deeper connection between the people and their city's development.

Promoting Financial Inclusiveness

The bond issuance is also seen as a way to further promote the development of Hong Kong's retail bond market and enhance financial inclusiveness. By allowing Hong Kong identity card holders to subscribe to the bonds with a minimum investment of HK$10,000, the government is making this investment opportunity accessible to a wide range of residents, regardless of their financial background. This initiative aims to empower more individuals to take an active role in supporting the city's long-term growth and development.

Flexibility and Scalability

The government has indicated that the bond's size may be increased to a maximum of HK$25 billion, depending on the response from investors. This flexibility demonstrates the government's commitment to meeting the demand for this investment opportunity and ensuring that as many Hong Kong residents as possible can participate in the city's infrastructure development.

Strengthening Hong Kong's Financial Landscape

The launch of the retail infrastructure bonds is also seen as a strategic move to further develop Hong Kong's financial market. By providing a new investment option that caters to the needs of individual investors, the government is diversifying the city's financial landscape and enhancing its appeal as a global financial hub. This initiative aligns with Hong Kong's broader efforts to promote financial inclusiveness and strengthen its position as a leading financial center in the region.

Investing in Hong Kong's Future

The retail infrastructure bonds offer Hong Kong residents a unique opportunity to directly contribute to the city's long-term development. By investing in these bonds, individuals can not only secure steady returns but also feel a sense of ownership and pride in the infrastructure projects that will shape the future of Hong Kong. This initiative represents a collaborative effort between the government and the people, fostering a shared vision for the city's prosperity and growth.