Singapore's sovereign wealth fund Temasek Holdings Private Limited (Temasek) has raised S$1 billion (approximately $700 million) through the issue of bonds, as part of its continuing fund raising programme.

In a filing with the Singapore Stock Exchange on Monday, Temasek said its wholly-owned subsidiary, Temasek Financial (I) Limited, will issue the 10-year notes due 2020, under a $10 billion guaranteed global medium-term note programme, which will be fully and unconditionally guaranteed by Temasek.

The notes carry a coupon rate of 3.265 per cent. They have been priced at a spread of 40 basis points over corresponding 10-year Singapore dollar swap offer rates, the statement said.

Temasek said the net proceeds from the bond issue will be used 'to fund their ordinary course of business'.

Last week, the fund doubled its global medium-term note programme from $5 billion to $10, in a move to cover possible future issues.

Temasek resumed fund raising in October 2009, after a gap of 4 years, with a $1.5 billion bond issue, followed by a $500 million offering in November and another $600 million in December.