The Beijing Stock Exchange recently announced that China’s first “Two Zones Development” bond was successfully launched. The bond, issued by Beijing Infrastructure Investment Co., Ltd., has a size of RMB 1 billion, a maturity of three years, and a coupon rate of 1.93 percent, setting a historic low for corporate bonds of the same maturity nationwide. China Securities served as the lead underwriter, while CITIC Securities, Orient Securities, China Merchants Securities, Capital Securities, and First Capital Investment Banking Co., Ltd. acted as joint lead underwriters.

Beijing is the only city in China to host both the Integrated National Demonstration Zone for Greater Openness in the Services Sector and the China (Beijing) Pilot Free Trade Zone.

The proceeds from this bond issuance will be used to support infrastructure projects under the “two zones” initiative and to replenish the company’s working capital. Among them, RMB 500 million is earmarked for the construction of Beijing Subway Line 17, which supports the development of the Integrated National Demonstration Zone for Greater Openness in the Services Sector. The line connects the Science and Technology Innovation Area, the International Business Services Area, and the High-end Industrial Area within the China (Beijing) Pilot Free Trade Zone, contributing to a more international and high-level development environment. The remaining RMB 500 million will serve as working capital, further enhancing the company’s overall capacity to contribute to the development of the “two zones.”