Standard Chartered Reaches RMB1bn of Euro Commercial Paper Issuance Out of London
Standard Chartered has passed renminbi (RMB)1bn in outstanding euro commercial paper (ECP) issuance out of London. This is a further development in London’s quest to become an offshore RMB centre, the scale of issuance illustrating the pace and momentum taking place in this market. It increases liquidity and leverages London’s product capabilities and infrastructure.
Listed on Euroclear, the ECP bridges the tenor gap between ‘dim sum’ bonds and traditional deposits for investors; in other words, it creates a new instrument and market for investors from Europe and Asia to access short-term RMB securities offering attractive yields. A large part of the funds raised will be used to provide inter market liquidity between London and Hong Kong to support RMB trade assets for clients.
Karen Fawcett, group head of transaction banking, said: “We are delighted to be at the forefront of supporting London’s development as an offshore RMB centre and are proud to be a key facilitator of international trade for our clients. The ECP programme demonstrates the bank’s capability to support our clients’ needs to manage their portfolio of working capital currencies and our commitment to continue our 150 year history of supporting global trade.”