China's offshore bond issuance from property developers declined significantly in August on a monthly basis, and Moody's expects such issuance in the second half to be lower than the first half amid tightened financing regulations.
Property developers have depleted their quotas of bond issuance in the first half, and refinancing requirements are low over the next 12 months, Moody's said. In addition, new regulatory restrictions for developers' offshore issuance were announced in July.
Chinese offshore issuance from developers dropped to $1.6 billion in August from $7.4 billion in July, Moody's reported, citing Bloomberg data. Rated developers issued $50.6 billion in offshore bonds from Jan. 1 to Aug. 28, higher than the total issuance of $48.4 billion in 2018.
