A&O Shearman supports China’s debut RMB sovereign green bond issuance in Hong Kong

The issuance comprised two tranches, including RMB3bn 1.42% 3-year bonds and RMB3bn 1.56% 5-year bonds. The bonds have been listed on The Stock Exchange of Hong Kong Limited. The offering attracted strong demand from a diverse array of international investors. 

The green bonds were issued under the People's Republic of China Sovereign Green Bond Framework which was released in February 2025. Under the Framework, an equivalent amount to the net proceeds from the sale of the bonds will be fully used to finance and/or refinance eligible green expenditures from MOF’s fiscal budget , which should contribute to the achievement of one or more of climate change mitigation and adaptation, natural resource conservation, pollution prevention and control, and biodiversity conservation. The issuance of green bonds underlies China’s commitment and continued efforts to advance its green and low-carbon transition.

The A&O Shearman team was led by partner Agnes Tsang and supported by senior associate Jiayin Yu, associate Michael Leung, trainee Angelina Pang, and paralegal Jenny Chau.