BEIJING, April 8 (Xinhua) -- Shanghai Stock Exchange (SSE) recently witnessed a credit protection contract sold to support a Chinese private firm's bond financing for its Belt and Road-related project, reported the Xinhua-run Shanghai Securities News Monday.
The move, as analysts say, is an important measure taken by SSE to alleviate financing difficulty of private companies and support the Belt and Road Initiative.
Sold by China Securities Finance Co., Ltd. and CITIC Securities, the credit protection tool was mainly created to enhance credit of 500 million yuan 2 plus 1-year corporate bond issued at 4.28 percent yield by TBEA Co., Ltd., a Chinese service provider of systematic solutions for global energy industry, on April 3.
According to the report, the tool, since piloting running, cheered up confidence of China's bond issuers and investors via providing credit protection to corporate bonds and asset-backed securities, and efficiently lowered financing costs of Chinese private enterprises. (Edited by Duan Jing, firstname.lastname@example.org)