File photo shows 100-yuan bank notes, the largest denomination of the Chinese currency. (Xinhua/Li Xin)

 
Overseas institutions continued to increase holdings of Chinese bonds, demonstrating confidence in the market despite short-term uncertainties, market data showed.

Overseas institutional investors saw the net purchase of Chinese bonds worth 43 billion yuan (about 6.1 billion US dollars) after the Spring Festival, according to the China Foreign Exchange Trade System.

As China opens its financial sector, its bond market has become an important part of global asset allocation.

The China Foreign Exchange Trade System said it will continue to improve overseas services and enhance financial infrastructure to facilitate bond trade.

The increasing holdings came despite short-term impacts brought by the novel coronavirus outbreak, which disrupted economic activities and threatened to drag down first-quarter growth.

As China goes all-out to curb the spread of the epidemic and gradually resumes work, analysts largely expect growth to rebound after the containment on pent-up demand and production.