World Bank Sustainable Development Bond attracts impressive demand
Summary
The bond will be listed on the Luxembourg Stock Exchange.
International Bank for Reconstruction and Development (IBRD) – a global development cooperative and member of the World Bank Group – in January issued its first Euro-denominated benchmark bond for 2023. The Euro 3 billion 10-year Sustainable Development Bond will mature in January 2033.
The transaction attracted over 100 orders totalling more than Euro 4.3 billion from European and global investors. BNP Paribas, Deutsche Bank, Natixis, and Nomura were the lead managers for the transaction, and the bond will be listed on the Luxembourg Stock Exchange.
According to the World Bank, the bond priced with a final spread to mid-swaps of +11 basis points and an equivalent annual yield of 2.910%. This equates to a spread vs. the reference Bund of 71.3 basis points.
“Funds raised by the World Bank in the capital markets are supporting its member countries as they respond to the many overlapping challenges being faced by those most in need, such as slowing global growth and elevated inflation,” said Jorge Familiar, Vice President and Treasurer, World Bank.
The World Bank said its bonds support the financing of a combination of green and social projects, programmes, and activities in IBRD member countries as described in the World Bank Sustainable Development Bond Framework.
Related
-
UNDP launches SDG Impact to leverage private investment for sustainable development
The initiative will provide investors and businesses with the much-needed country-level data and SDG investment roadmaps.
-
IFC hosts session to track progress on Nigerian Sustainable Banking Principles
The session was part of the IFC’s two-day virtual event under the ESRM Nigeria Programme.
-
Innovative financing as key to closing SDG funding gap
One of the ways Access Bank has demonstrated its leadership in sustainable finance is through its green bond issuance.
Sustainable Development Section Sponsor
-
Access Bank Plc ...Financing the future
-
... Sustainable Cities
