The Hong Kong Monetary Authority (HKMA) allotted HK$1.5 billion in one-year notes linked to the Hong Kong Dollar Overnight Index Average (HONIA), after applications at the Nov. 11 tender reached HK$5.155 billion.
The bid-to-cover ratio was 3.44, meaning applications were 3.44 times the amount offered. At the comparable Nov. 12, 2025, tender, the HKMA recorded a 4.11 ratio and HK$6.165 billion in applications for the same HK$1.5 billion allotment.
The highest accepted spread was 0.38%, while the average accepted spread was 0.23%. The average tender spread was 0.44%, and the pro-rata ratio was about 68%.
For each interest period, the rate is based on the annualized compounded average of daily HONIA, plus the 0.38% highest accepted spread, with a 0% floor. Interest is paid quarterly. Proceeds are designated for infrastructure projects under the Infrastructure Bond Framework.
The notes are scheduled to settle Nov. 12 and mature Nov. 12, 2027. The first interest period is scheduled to end Feb. 12, 2027, with the first payment due Feb. 16, 2027.
