China issues first batch of ultra-long special treasury bonds

China issued 40 billion yuan (about 5.63 billion U.S. dollars) of ultra-long special treasury bonds with a term of 30 years on Friday, the first batch of its 1 trillion yuan of such bonds planned for this year.

The bonds, with an interest rate of 2.57 percent, will be used to raise funds for implementing major national strategies and building up security capacity in key areas, the Ministry of Finance said.

China is set to issue ultra-long special treasury bonds with terms of 20 years, 30 years and 50 years this year. The issuance of the last batch will be completed by mid-November, according to the ministry.

China has planned for the issuance of such bonds during each of the next several years to provide long-term capital for major projects.