The World Bank has successfully priced a 10-year EUR benchmark bond, raising EUR 3 billion to support its sustainable development activities. The bond, maturing in July 2035, achieved a spread of mid-swaps +38 basis points and an annual yield of 3.037%. Barclays, Goldman Sachs, LBBW, and Morgan Stanley acted as joint lead managers for the transaction.
Jorge Familiar, Vice President and Treasurer of the World Bank, emphasized the importance of investor support in achieving this milestone. "This EUR 3 billion benchmark bond caps off a tremendous start to our new fiscal year with transactions across four markets allowing IBRD to mobilize over USD 8 billion in support of the World Bank’s mission," he stated.
The bond attracted significant interest from investors worldwide, with participation from Europe, the Middle East, Africa (76%), Americas (13%), and Asia (11%). The breakdown by investor type included Central Banks/Official Institutions (39%), Banks/Bank Treasuries/Corporates (37%), and Asset Managers/Insurance/Pension Funds (24%).
Alex Paterson from Barclays noted that the transaction reaffirmed IBRD's robust credit quality and leadership in the SSA sector. Dorothee Amar from Goldman Sachs highlighted the strategic prowess demonstrated by the World Bank in issuing this bond. Patrick Seifert from LBBW praised the timing and relevance of the issuance amidst global uncertainty. Robert Matthews from Morgan Stanley acknowledged the global support IBRD has developed across currencies.
The bond will be listed on the Luxembourg Stock Exchange. It is part of ongoing efforts by The World Bank to fund programs aimed at ending extreme poverty and promoting shared prosperity.
For more information on The World Bank's Sustainable Development bonds or related queries, contact Investor Relations and Sustainable Finance at debtsecurities@worldbank.org.