Samruk-Kazyna placed a debut issue of panda bonds for 3 billion yuan at 2.18% per annum with an oversubscription of 1.7 times. The trip of Kazakhstani issuers to Shanghai for AIFC Connect on April 28 showed that talks about a “pivot to the East” have moved into practical terms.
What happened
The Astana International Financial Centre (AIFC) held the AIFC Connect event in Shanghai with the participation of Kazakhstani issuers. The co-organizer was the Shanghai Stock Exchange, one of the shareholders of the AIX exchange.
The main case was the placement by Samruk-Kazyna of panda bonds for 3 billion yuan at 2.18% per annum. For comparison: Hungary and Sharjah placed at higher rates — around 2.5% and 2.7%, respectively.
In 2025, foreign issuers placed panda bonds for more than 170 billion yuan (about $24 billion). As of March 20, 2026, the volume of issues amounted to 77.9 billion yuan, nearly doubling year-on-year.
Country and market
For Kazakhstan, this is the first serious test of the Chinese capital market. Low rates in yuan are associated with a structural imbalance in the Chinese financial system: a significant volume of liquidity has been accumulated, but there is a shortage of high-quality credit risk.
Banks, insurance companies, and funds are constantly looking for reliable borrowers. The low base rate in yuan and the dominance of institutional investors further reduce the cost of borrowing.
China is consistently promoting the internationalization of the yuan through bonds, cross-border settlements, and lending. A parallel financial system is forming where the yuan serves as a funding currency.
Why it matters
The successful placement by Samruk-Kazyna creates a benchmark for other Kazakhstani issuers. Chinese investors have effectively confirmed their readiness to accept Kazakhstani risk on competitive terms.
The main signal here is that Kazakhstan has gained access to one of the largest capital markets in the world with cheaper financing in a currency that is already used in trade and infrastructure settlements.
This is not about replacing the dollar market, but complementing it. Traditional platforms remain more mature, but the Chinese market is often economically more advantageous.
What’s next
A model is emerging where issuers combine different funding sources, managing the cost of capital. Following the freezing of Russian reserves, many countries are reviewing their asset structures — the yuan is beginning to be seen as an element of currency diversification.
The material mentions an important thought from the China International Capital Corporation about a “window of opportunity,” but the details remained outside the scope of the publication.