MACAO – The Shenzhen municipal government issued 1 billion yuan (approximately $147.6 million) in offshore sustainability bonds in the Macao Special Administrative Region on Thursday, the Monetary Authority of Macao (AMCM) said.

The three-year bonds, offered to professional investors, carry a coupon rate of 1.41 percent. The issue was oversubscribed, it said.

Proceeds will fund water management, health care and other projects. The bonds received pre-issuance certification from the Hong Kong Quality Assurance Agency.

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The sale marked Shenzhen's second consecutive year of issuing offshore yuan-denominated government bonds in Macao and its first offering there of sustainability bonds themed around the Guangdong-Hong Kong-Macao Greater Bay Area.

The AMCM noted the sale reflected closer financial cooperation between Shenzhen and Macao. It said the issuance would help attract more issuers to Macao's bond market and support green and sustainable finance in the Greater Bay Area.

Macao will continue developing its bond market under its third five-year plan as part of efforts to develop its financial sector and diversify its economy, it added.