Morgan Stanley(US:MS) Zhong Guo Xin Wen Wang·2025-07-28 12:00Core Viewpoint - The issuance of panda bonds by Morgan Stanley and the Hungarian government marks a significant development in the Chinese interbank market, enhancing the diversity of issuers and promoting the high-quality development of the panda bond market [1][2]. Group 1: Panda Bond Issuance - Morgan Stanley issued its first panda bond, totaling 2 billion RMB with a 5-year term and a coupon rate of 1.98%, attracting strong interest from domestic investors [1]. - Hungary issued 4 billion RMB in panda bonds, consisting of a 3-year bond at a 2.5% rate and a 5-year bond at a 2.9% rate, setting records for the largest single issuance by a foreign government and the first 5-year foreign government panda bond [1]. - The total issuance of panda bonds by Hungary has reached 11 billion RMB across six issuances, making it the largest foreign government issuer in terms of both issuance and outstanding amounts [1]. Group 2: Market Trends and Growth - The panda bond market has seen a steady increase in the number of issuers, now including international development institutions, foreign governments, foreign financial institutions, and non-financial enterprises [2]. - In 2023, the issuance scale of panda bonds in the Chinese interbank market reached 111.2 billion RMB, with foreign government institutions, international development agencies, and multinational corporations accounting for 50% of the total issuance, a 27 percentage point increase from the previous year [2]. - Since its launch in 2005, the panda bond market has entered a phase of institutionalization and normalization, particularly accelerating since 2015 to promote the use of the RMB in cross-border transactions [3].