The renewable corporate bond of Lianyungang Port Group Co., Ltd. (for the "Belt and Road" Initiative) was approved by the China Securities Regulatory Commission (CSRC) on July 11. It is the 1st renewable corporate bond whose raised funds are used for the "Belt and Road" initiative, and it is to apply for getting listed on the Shanghai Stock Exchange (SSE) after being issued. The approval of the bond's issuance is another key measure of the SSE to keep serving the "Belt and Road" initiative and provide major projects with capital support under the leadership of the CSRC.
The corporate bond planned to publicly issue no more than RMB2 billion, and its cooperating rating and debt rating are both AA+. No less than 70% of the approved total raised funds are planned to be used for the railway project and the railway loading station of the Shanghai Cooperation Organization (Lianyungang) International Logistics Park. The bond is to be issued in the form of renewable corporate bond, and it will help to provide long-term and sustainable capital guarantee for the key projects of the "Belt and Road" Initiative.
Lianyungang City is the joint of the Land Silk Road and Maritime Silk Road, the main city of the New Eurasian Land Bridge Economic Corridor, and the core area and strategic leading zone of constructing the "Belt and Road" Joint pointed out by the CPC Jiangsu Provincial Committee and the Jiangsu Provincial People's Government. Its issuer, Lianyungang Port Group Co, Ltd., will be the main operating and constructing body to implement the national, provincial and municipal arrangements. It will strive to build Lianyungang into a major oriental port under the "Belt and Road" Initiative by grasping the historical opportunity, firmly sticking to the development orientation of a "port of transport hub, industry, logistics and trading" and highlighting its leading position. The construction of Shanghai Cooperation Organization (Lianyungang) International Logistics Park has been included in the national "13th Five-year Plan" and the "Opinions on Building Lianyungang into A New Port-surrounding Industrial Base and Accelerating the Construction of the Major Cities of the 'Belt and Road' Initiative" by the CPC Jiangsu Provincial Committee and the Jiangsu Provincial People's Government. In the future, Lianyungang will serve as a key international economic platform for the transit transport, warehouse logistics, trading and industrial cooperation of countries and regions participating in the "Belt and Road" cooperation.
The "Belt and Road" cooperation is a significant initiative for creating a new economic pattern of China and promoting the common prosperity of its participating countries and regions. Guided by the CSRC, the SSE has deeply implemented the decisions and arrangements of the Central Party Committee and the State Council and made new progress in boosting the capital market to facilitate the financing of the "Belt and Road" Initiative and serving the "Belt and Road" cooperation. Till June 2018, the SSE has accepted and approved a total of 14 corporate bonds and asset-backed securities for the "Belt and Road" Initiative, with the scheduled issuance scale of about RMB80 billion. Recently, the SSE has talked over with several countries participating in the "Belt and Road" Initiative, and several corporate bonds and asset-backed securities for the "Belt and Road" Initiative are ready to provide sustainable capital support.
The SSE will continue to implement the guiding spirits of the Central Party Committee and the State Council. Under the unified arrangement of the CRSC, it will further improve the corporate bond mechanism to support the "Belt and Road" cooperation, keep detailing and optimizing relevant rules and supporting measures, and enhance the exchange-traded bond market's capacity of serving the "Belt and Road" Initiative, thus propelling the construction of an all-round opening-up capital market.