The Madrid-based Instituto de Credito Oficial (ICO) is planning to issue a Panda Bond in China with the aim of helping Spanish enterprises to participate in infrastructure projects under the Belt and Road Initiative, the International Business Daily reports, quoting a report from Expansión, Spain's leading business and finance newspaper.

The Spanish state-owned bank, which is attached to the Ministry of Economic Affairs, Industry and Competitiveness, will become the first institution in Spain to issue a Panda Bond, a renminbi-denominated bond sold in China by a non-Chinese issuer, according to the report.

This move aims to diversify the ICO's financing channels, as well as to seize important opportunities arising from China's rapid infrastructure development and facilitate Spanish firms' investment in China.

The report says that preparations for issuance will be completed this summer, and the value of the bonds will be set at around 200 million euros.