Xin Lang Cai Jing·2026-02-14 14:36Core Viewpoint - The successful completion of the first offshore free trade bond secondary market transaction by Industrial and Commercial Bank of China (ICBC) through its overseas subsidiary ICBC Asia marks a significant step in promoting the development of the offshore RMB bond market, injecting new momentum into the internationalization of the RMB and expanding high-level opening-up [1][2]. Group 1 - The offshore free trade bond was issued within the China (Shanghai) Pilot Free Trade Zone, with registration and custody managed by the Shanghai Clearing House, and both the issuer and investor being overseas entities [1][2]. - Unlike previous bonds that were primarily issued and subscribed through the primary market, this transaction involved ICBC Asia completing the secondary market transaction through the Chinese Foreign Exchange Trading System, with delivery versus payment (DVP) settlement conducted by the Shanghai Clearing House [1][2]. - The transaction utilized the Cross-Border Interbank Payment System (CIPS) for RMB fund transfers, achieving a streamlined process for the entire transaction clearing and settlement of the offshore free trade bond [1][2]. Group 2 - The successful execution of this transaction is expected to enhance the liquidity and activity of offshore free trade bond trading, contributing to the acceleration of Shanghai's development as an international financial center [1][2]. - ICBC aims to leverage its global service network and cross-border financial service advantages to actively promote the construction of the offshore free trade bond market, thereby broadening financing channels for "going out" enterprises and high-quality companies in countries and regions involved in the Belt and Road Initiative [1][2].