China 10Y Yield Rises Amid T-Bond Issuance

2026-01-22 05:08 By Czyrill Jean Coloma 1 min. read

China’s 10-year government bond yield rose to around 1.83% on Friday, staying away from a one-month low hit earlier this week, as the country issued new treasury bonds.

The first batch of ultra-long-term special treasury bonds, totaling CNY 93.6 billion ($13.44 billion), is intended to support equipment upgrades across sectors including industry, energy, education, healthcare, and renovations of old residential elevators.

This follows December’s CNY 62.5 billion ($8.98 billion) allocation, which funded a consumer-goods trade-in program and expanded equipment upgrades to additional livelihood-related sectors in 2026.

The increased supply of long-term government debt put temporary upward pressure on yields, as investors recalibrated risk and return.

On the monetary policy front, the People's Bank of China has pledged to maintain a moderately accommodative stance in 2026, including reductions in the reserve requirement ratio (RRR) and policy interest rates.



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