This comes as the dim sum bond market – or the offshore renminbi bond market – saw its issuance surging to 120.2 billion renminbi (USD18.8 billion) during January-September 2011, with China accounting for the biggest share of the growth.

 

Figures released by Thomson Reuters on October 6 show that the month of May posted the highest monthly volume in terms of proceeds at 27.9 billion renminbi and was the busiest month in the number of issues at 40.

 

Quarterly volume of Hong Kong dollar bonds issuance this year decelerated as proceeds in the third quarter fell to HKD15.9 billion from HKD21.6 billion in the previous quarter and from HKD32.8 billion in the first quarter. The third quarter figure was the lowest since 2008, which amounted to HKD15.6 billion.

 

For dim sum bonds, the financial sector accounted for the majority of the proceeds at 71 billion renminbi or 58.9 percent, bolstered by the Ministry of Finance’s 15 billion renminbi offering for institutional investors in August. Government and agencies accounted for 13.3 percent, materials sector 6.3 percent and industrials 5.2 percent.

 

HSBC leads the debt underwriting league table for new issuance of Hong Kong dollar-denominated bonds for the first nine months of 2011 with total proceeds of HKD25 billion, or a market share of 35.5 percent.

 

The bank also leads the way as the top bookrunner for dim sum bonds offering with total proceeds of 29.35 billion renminbi from 57 issues, or a market share of 24.4 percent, followed by Standard Chartered Bank with 16.16 billion renminbi from 35 issues (13.4 percent) and Deutsche Bank with 8.12 billion renminbi from 14 issues (6.8 percent)