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The China Development Bank has made a hit with its issue of Renminbi bonds in the Hong Kong Special Administrative Region -- the first ever made by a mainland financial institution -- attracting 14 billion yuan (US$1.84 billion), nearly triple the initial offering of 5 billion yuan.

Governor Chen Yuan of the China Development Bank said the massive oversubscription showed the confidence of Hong Kong residents in the long-term development of the Chinese economy and was a "ringing endorsement" of the CDB's credit and business performance.

Special coverage: Markets Watch Related readings:  CDB to sell first-ever RMB bonds in Hong Kong  RMB bonds good for mainland, Hong Kong

Chen said the CDB would use the funds to finance state key projects, particularly infrastructure construction projects.

The two-year bond with an annual face yield of 3 percent is to be issued Wednesday and equally shared among institutions and individual investors.

The joint lead managers and bookrunners for the bond issue are the Bank of China (Hong Kong) and the Hong Kong and Shanghai Banking Corporation Limited. The distributors are 14 banks with branches in Hong Kong, including the Bank of Communications, China Construction Bank (Asia), Dah Sing Bank, and The Bank of East Asia.

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