Portuguese Secretary of State for Finance Ricardo Mourinho Félix has said his government will offer for sale next week bonds denominated in renminbi, so becoming the first government in the euro zone to issue panda bonds, Eco reports.

The Portuguese financial newspaper quotes Mr Mourinho Félix as saying the Chinese authorities gave Portugal on Tuesday permission to issue panda bonds.

The report says the government will issue three-year bonds worth 2 billion yuan (about US$289.6 million) on May 29 and 30.

It quotes Mr Mourinho Félix as saying: “The purpose of the issue is to enter a market with huge dimensions and great liquidity.”

The issue is a joint undertaking by the Portuguese Treasury and Debt Management Agency, Chinese state-owned Bank of China and British bank HSBC, Eco says.