Washington, DC, June 12, 2014 – Today, the World Bank (International Bank for Reconstruction and Development, IBRD, rated Aaa/AAA), announced a Swedish Kronor (SEK) 1.5 billion 5-year fixed rate green bond. This bond was lead managed by Skandinaviska Enskilda Banken AB (SEB) and sold to a group of eight investors, including AP2 and SEB Asset Management.
With today’s issue, the World Bank has now raised over USD 6.3 billion equivalent through 66 green bonds in 17 currencies, since its inaugural green bond in 2008.
Transaction Summary:
Issuer: World Bank (International Bank for Reconstruction and Development, IBRD)
Issuer rating: Aaa/AAA
Amount: SEK *1.5 billion (USDeq. 224.5 million)
Settlement date: June 23, 2014
Maturity date: June 23, 2019
Issue price: 100%
Coupon: 1.375%
Denomination: SEK 50,000 and integral multiples of SEK 10,000 in excess thereof
Listing: Luxembourg Stock Exchange
Clearing system: Euroclear / Clearstream
Lead manager: Skandinaviska Enskilda Banken AB (SEB)
ISIN: XS1078475024
*On October 23, 2014, IBRD agreed to increase the principal amount with a second tranche in the amount of SEK 2 billion with an issue price of 103.396% (settlement date: October 30, 2014). The new total outstanding principal amount is SEK 3.5 billion.
World Bank green bonds raise funds for projects seeking to mitigate climate change or help affected people adapt to it. Examples of the types of projects supported by World Bank Green Bonds include renewable energy installations, energy efficiency projects, new technologies in waste management and agriculture that reduce greenhouse gas emissions and help finance the transition to a low carbon economy, as well as financing for forest and watershed management, and infrastructure to prevent climate-related flood damage and build climate resilience. For more information on green bonds, see: http://treasury.worldbank.org/greenbonds.
About the World Bank
The World Bank (International Bank for Reconstruction and Development, IBRD), rated Aaa/AAA (Moody’s/S&P), is an international organization created in 1944. It operates as a global development cooperative owned by 188 nations. It provides its members with financing, expertise and coordination services so they can achieve equitable and sustainable economic growth in their national economies and find effective solutions to pressing regional and global economic and environmental problems. The World Bank has two main goals: to end extreme poverty and promote shared prosperity. It seeks to achieve them primarily by providing loans, risk management products, and expertise on development-related disciplines and by coordinating responses to regional and global challenges. It has been issuing bonds in the international capital markets for over 60 years to fund its activities. Information on bonds for investors is available on the World Bank Treasury website: (www.worldbank.org/debtsecurities).
