China’s southern province of Hainan issued CNY 14.05 billion (USD 2.18 billion) in local government bonds on Monday. This is the fifth batch of government bond funds to be raised for accelerating the economic and social development of the Hainan Free Trade Port and to repay the principal on local government bonds due this year.

The bonds issued by Hainan can be divided into two types with the refinancing bonds totaling CNY 890 million (USD 137.81 million) and the newly added special bonds totaling CNY 13.16 billion (USD 2.04 billion).

The aforementioned newly added special bonds were raised for public welfare projects on transportation infrastructure, ecological protection, shantytown redevelopment, improving people's livelihoods, and municipal infrastructure construction in the Hainan FTP. Of these bonds, a CNY 580 million (USD 89.81 million) special bond is the first time a bond will be used to support green projects for sewage treatment and ecological restoration and rewilding.