SHANGHAI - The New Development Bank (NDB) has issued a three-year panda bond worth 7 billion yuan ($971 million) in China's Interbank Bond Market, the bank announced on Thursday.

Panda bonds are yuan-denominated debts sold by overseas issuers to meet financing demand. The latest issuance reinforces NDB's position as the largest panda bond issuer in the China Interbank Bond Market, with a cumulative issuance scale of 68.5 billion yuan.

The latest issuance has attracted strong interest from a diversified local and foreign investor base, including central banks, insurance companies and bank treasuries, the bank noted, adding that the net proceeds from the sale of the bond will be used to finance infrastructure and sustainable development projects in NDB member countries.

"The New Development Bank is committed to maintaining a consistent and robust presence in capital markets while diversifying its funding across various instruments, currencies and tenors. In line with the general strategy, NDB is actively expanding its funding sources through local currency-denominated bond issuances, enhancing the Bank's capability to finance sustainable development projects," said Monale Ratsoma, NDB vice-president and chief financial officer.

Headquartered in Shanghai, the NDB was established by Brazil, Russia, India, China and South Africa in 2014 to mobilize resources for infrastructure and sustainable development projects in BRICS member nations, and in other emerging market economies and developing countries.