China Development Bank to float RMB 30 bln bond today

China Development Bank (CDB), one of the three policy banks in China, will float RMB 30 billion worth of inter-bank bond from today, according to sources.

This is the sixth batch of inter-bank bond issued by CDB this year in line with the government's tightening monetary policy.

The seven-year floating rate bonds will be traded at a coupon of about 4.79% annually, and the interest will be paid every six months.

Analysts estimate the demand would be strong as the central bank was not possible to raise the interest rates in the short term due to a possible global economic recession.