Beijing has cooled on a series of high-profile projects aimed at fostering closer ties with the UK as concerns mount that the “golden age” between the two countries lauded by the previous British government has waned.
Chinese officials said there were now no active plans to sell further renminbi-denominated sovereign bonds after last summer’s landmark Rmb3bn ($430m) auction by the Chinese finance ministry, which raised hopes about a series of follow-up deals as part of the internationalisation of China’s currency.
“There is no timetable for a second government bond issuance in London,” said one Chinese official. “In any case, the next one that China issues overseas will probably go to another centre, with Hong Kong under consideration. It is only fair that China diversifies its issuance locations for government bonds.”