China Construction Bank has become the first Chinese bank to issue a renminbi-denominated bond in London, in the latest sign of China’s push to internationalise its tightly-controlled currency.

The world’s second largest bank by market capitalisation has raised Rmb1bn ($160m) through its London subsidiary for what a UK Treasury official described as the first so-called “dim-sum” bonds to be issued by a Chinese bank outside China and Hong Kong. The bonds will begin trading today.

Daniel Widdicombe, chief executive of CCB’s London arm, said that the bonds, which mature in 2015 and pay an annual coupon of 3.2 per cent, had seen strong interest from institutional investors who wanted to participate in any rise in the value of the renminbi as well as diversify their currency exposure.