Two Ministries Jointly Issue Announcement to Support the Issuance of Science and Technology Innovation Bonds

On May 6, 2025, the People’s Bank Of China (PBC) and China Securities Regulatory Commission (CSRC) jointly issued the Announcement on Issues Concerning Supporting the Issuance of Science and Technology Innovation Bonds (the “Announcement”), aiming to accelerate the development of a multi-level bond market and to support the financing of science and technology innovation enterprises. The Announcement came into effect upon publication.

The Announcement proposes enriching the product system of science and technology innovation bonds, allowing financial institutions, science and technology enterprises, and equity investment institutions to issue science and technology innovation bonds, with funds raised to be used in the field of science and technology innovation. Issuers may flexibly set bond terms, optimize issuance management processes, simplify information disclosure rules, innovate credit rating systems, and improve risk dispersion mechanisms. Financial institutions may support science and technology innovation businesses through various methods, while local governments may offer interest subsidies and guarantees as supporting measures. Science and technology innovation bonds will be included in the assessment of the quality and effectiveness of financial institutions’ science and technology financial services, to enhance the bond market’s capacity to support scientific and technological innovation.