TAIPEI, April 17 State-run Chang Hwa Bank
will issue a 1 billion - 1.5 billion yuan bond, two
sources with direct knowledge of the matter said on Wednesday,
in the latest sign of growing demand for yuan-denominated
products as Taiwan-China ties gather steam.
The indicative yield for the three-year bond is at 2.85
percent - 3.0 percent, said one source, who spoke on condition
of anonymity as the matter is not public yet.
Chang Hwa Bank will sell the bond as soon as May, subject to
regulatory approval, the sources said.
China and Taiwan signed an agreement in September for the
establishment of a clearing system for yuan transactions on the
island, setting the stage for local and foreign banks to launch
yuan bonds in Taiwan.
Chinatrust Financial, Taiwan's top credit card
issuer, recently priced its three-year yuan bond at a yield of
Deutsche Bank also has plan to sell yuan bonds of
up to 2 billion yuan in Taiwan.
(Reporting by Emily Chan; Writing by Faith Hung; Editing by