China's Ministry of Finance listed its first sovereign offshore renminbi bond on the London Stock Exchange on Wednesday, marking a significant milestone in increasing London's offshore renminbi liquidity currency and signaling the renminbi's potential as a global reserve currency.

The 3 billion renminbi ($458 million) three year bond is the first offshore renminbi bond issued by the Ministry of Finance outside of China.

It is expected to act as a benchmark to aid the future pricing of renminbi assets and so encourage the issuing of more offshore renminbi investment products. Bank of China and HSBC are joint global coordinators of the bond.