Finance Minister Ch.Khurelbaatar took to Twitter on Wednesday to criticize Bloomberg TV for its false report regarding a potential issuance of a new yuan bond by Cabinet.

Bloomberg TV Mongolia reported on February 7 that a source close to the Ministry of Finance had disclosed information regarding a potential issuance of a Panda bond. A Panda bond is a Chinese renminbi-denominated bond from a non-Chinese issuer, sold in China.

The first two Panda bonds were issued in October 2005 on the same day by the International Finance Corporation and the Asian Development Bank.

Bloomberg had reported that nearly three months after the issuance of the 800 million USD Gerege bond, Cabinet had its sights set on a new international bond. The source told Bloomberg that the bond would not exceed five years.

The Ministry of Finance sent out a statement saying, “Bloomberg TV and news outlets have misreported that the Ministry of Finance will issue Panda bond in Chinese market. Hereby, we officially state that the Ministry of Finance of Mongolia did not take any official actions to issue government bonds in Chinese market,”

Ch.Khurelbaatar demanded that Bloomberg take down the false article and send out a clarification.

“We are receiving many calls and messages from people everywhere. The Ministry of Finance has even received inquiries about the bond from embassies,” the finance minister tweeted.

When asked if the Mongolian government is planning on issuing any bonds in the near future, Ch.Khurelbaatar said that there are no current plans to issue any bonds on the international market.

In 2015, Mongolia became the second country after Britain to issue yuan-denominated bonds after it completed the sale of an offshore yuan bond, the Dim Sum bond.

The one billion RMB (161 million USD) three-year bond had an interest rate of 7.5 percent, attracting orders worth 1.5 billion RMB from 44 accounts.


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