Core Insights - The Bond Connect program has significantly enhanced the connectivity between the mainland and Hong Kong bond markets since its launch on July 3, 2017, with the introduction of "Northbound", "Southbound", and "Swap Connect" mechanisms [1] Group 1: Trading Volume Growth - The trading volume of the Bond Connect has experienced explosive growth, with the "Northbound" monthly transaction volume reaching 915.6 billion RMB in May 2025, representing a more than 31-fold increase from the initial monthly average of 1.5 billion RMB [3] - As of May 2025, the number of overseas investors participating through the "Northbound" channel has doubled to 835 from 315 in May 2018, indicating a diversification in the investor base [3] Group 2: Market Participation and International Interest - The enthusiasm of foreign institutions for the Chinese bond market has surged, with 1,169 international investors from over 70 countries and regions participating as of May 2025 [4] - The scale of foreign holdings in onshore Chinese bonds reached 4.35 trillion RMB, with a compound annual growth rate of approximately 12% over the past five years, reflecting long-term confidence in the market [4] - From January to May 2025, foreign institutions completed approximately 7.9 trillion RMB in cash transactions in the interbank market, further solidifying the Bond Connect as the preferred channel for international investors [4] Group 3: Global Index Inclusion - The position of Chinese bonds in international indices has steadily improved, with their share in the FTSE Russell Global Government Bond Index rising to second globally and third in the Bloomberg Barclays Global Aggregate Index, exceeding initial expectations [4]