Key facts
- HKEX will launch 5-year China Government Bond (CGB) Futures on August 3, 2026.
- The futures contract is intended to serve as an offshore hedging tool for Chinese sovereign debt.
- This product aims to enhance Hong Kong's role as an offshore RMB hub.
- The launch is pending approval from Hong Kong's Securities and Futures Commission.
Hong Kong Exchanges and Clearing Limited (HKEX) is preparing to launch the first offshore China Government Bond (CGB) futures contract on August 3, 2026, pending final approval from the Securities and Futures Commission (SFC). The 5-year CGB futures will trade on HKEX's Hong Kong Futures Exchange, providing international investors with a new tool to hedge interest-rate risk on Chinese sovereign debt without directly engaging with the onshore market.
HKEX Chairman Carlson Tong described the launch as a key milestone in advancing Hong Kong’s Fixed-Income and Currencies (FIC) framework. HKEX CEO Bonnie Y Chan stated that the futures contract will complement existing cross-border infrastructure such as Bond Connect and Swap Connect, which facilitate international investors' access to mainland China's bond and interest-rate swap markets through Hong Kong. The new product is designed to support the growth of Hong Kong's RMB product ecosystem and cement its position as a leading offshore RMB hub.
The contract will feature a base trading fee of RMB 5 per contract per side, with HKEX offering a 50% trading fee discount for the entire first year after launch, from August 3, 2026, through July 30, 2027. Dedicated incentive programs for liquidity providers and algorithmic trading firms have also been announced. This move positions HKEX to gain a first-mover advantage in the competitive landscape for RMB-denominated products, with financial centers like Singapore and London also vying for market share.