China issued its first renminbi-denominated sovereign green bonds worth 6 billion yuan in London, UK on Wednesday, according to a Thursday press release from the Ministry of Finance.

The bonds have two tranches. The first is worth 3 billion yuan, with a 1.88% issuance rate and a term of three years. The other tranche is also worth 3 billion yuan, but it has a 1.93% issuance rate and a term of five years.

The rates of both tranches are lower than the yields on comparable treasury bonds in the Hong Kong secondary market, the release said.

The offering accumulated subscriptions amounting to 41.58 billion yuan, 6.9 times more than the issuance amount.