The International Bank for Reconstruction and Development has arranged to borrow a total of $55 million from the Central Bank of Germany (the Deutsche Bundesbank). Of this sum, $25 million will replace the $25 million maturity due June 20, 1960, on a previous loan by the Bundesbank to the World Bank; and $30 million will replace a similar loan maturing on July 11, 1960.
As evidence of its indebtedness to the Bundesbank, the World Bank will issue $25 million of 2-1/2 year 4% Notes dated June 20, 1960, and maturing December 20, 1962; and $30 million of 3 year 4% Notes dated July 11, 1960, and maturing July 11, 1963. The new notes will be denominated in United States dollars, as are the Notes they are replacing.
Net borrowings by the World Bank in Germany are now the equivalent of $440 million.