South Korea will issue yuan-denominated foreign exchange stabilization bonds in China.
 
The Finance Ministry said on Tuesday that the People’s Bank of China (PBOC) approved its issuing of bonds not exceeding three billion yuan or 463 million U.S. dollars.
 
It is the first time Beijing has approved the floating of yuan-based bonds by a foreign government.
 
The move follows a summit between South Korea and China on October 31, in which the two sides agreed to enhance cooperation in finance and currency.
 
Meanwhile, the Seoul government will hold road shows in Shanghai and Beijing from Wednesday to Friday to explain the bond issuance to local investors.