China's government bonds were officially included in the FTSE World Government Bond Index (WGBI) on Friday, according to the People's Bank of China.

The FTSE WGBI is the last of the three major global bond indexes to include the Chinese government bonds. Friday's inclusion followed the Bloomberg Barclays Global Aggregate Index in April 2019 and the Government Bond Index Emerging Markets suite of JP Morgan in February 2020.

China is currently the world's second-largest bond market, with market size of above 120 trillion yuan (about 18.8 trillion U.S. dollars).

The latest data showed that global investors held 3.9 trillion yuan of Chinese bonds as of late September.