World Bank issues first Chinese yuan bond

The World Bank has raised $76m (£49m) by issuing its first bond denominated in yuan.

The aim is to try and promote the use of the Chinese currency in the international markets at a time when China is potentially set to become the third-largest stakeholder in the World Bank.

The International Bank for Reconstruction and Development has priced the two-year paper at 0.95%. (article continues below)

The market for yuan-based bonds in Hong Kong has already attracted significant investor attention in recent years, leading to McDonald’s and Caterpillar to issue bonds in the Chinese currency.