Bank of China (03988) announced that, following regulatory approval, it issued its total loss-absorbing capacity (TLAC) non-capital bonds in the national interbank bond market on September 3, 2026, with the issuance fully completed by September 7, 2026.

The total issuance size stands at RMB 40 billion, comprising two tranches: Tranche One is sized at RMB 20 billion, a 4-year fixed-rate bond with a coupon rate of 1.69% and a conditional issuer redemption option exercisable at the end of the third year; Tranche Two is also sized at RMB 20 billion, a 6-year fixed-rate bond carrying a coupon of 1.79%, featuring a conditional issuer redemption option at the end of the fifth year.

The net proceeds from these bonds, after deducting issuance costs, will be applied in accordance with applicable laws and regulatory approvals to strengthen the bank's total loss-absorbing capacity.