China plans to issue RMB 27.94 bln T-bonds

China plans to issue RMB 27.94 billion (about US$3.94) 10-year book-entry treasury bonds from Mar. 20, with a fixed annual interest rate of 4.07%, according to the statement of the Ministry of Finance.

The interest would be calculated as the issue starts, which will be payable semi-annually. The issue would close on Mar. 25, and the bonds are expected to become tradable on Mar. 28.

This is the central bank's third such issue this year. The principle would be returned at maturity, said the ministry. The first such issue was announced on Feb. 1, and was for RMB 29 billion in 7-year bonds, at a fixed annual interest rate of 3.95%, while the second one was RMB 28 billion worth of 15-year bonds, started from Feb. 28, with a fixed annual interest rate of 4.16%.

China issued 35 batches of treasury bonds last year, totaling RMB 2.35 trillion.