The World Bank has concluded arrangements for Yen borrowing operations totaling Yen 70 billion (about US$285 million equivalent at current exchange rates). Mr. Moeen A. Qureshi, Senior Vice President, Finance of the World Bank, signed the agreements in Tokyo today for two syndicated loans.
The first syndicated loan for an amount of Yen 45 billion is extended to the World Bank by a consortium of Japanese banks and insurance companies with The Industrial Bank of Japan, Limited, The Long-Term Credit Bank of Japan, Limited, The Bank of Tokyo, Ltd., The Nippon Credit Bank, Ltd., and Nippon Life Insurance Company as joint lead-managers. The Dai-ichi Mutual Life Insurance Company, The Meiji Mutual Life Insurance Company, Sumitomo Life Insurance Company, and The Tokyo Marine and Fire Insurance Company, Limited are co-managers of the transaction. The Bank of Tokyo, Ltd. is also the agent for the loan. The syndicated loan, with a final maturity of 12 years and an average life of 10.5 years, bears interest at the rate of 8.6% per annum payable semi-annually. Including this borrowing, the World Bank has concluded nine loans aggregating Yen 455 billion (about US$ 1.9 billion equivalent) with the Japanese banks and insurance companies included in this group of lenders.
The second borrowing is a Yen 25 billion loan from a group of Japanese trust banks. The Mitsubishi Trust and Banking Corporation will act as manager and agent for this borrowing. The loan will have a final maturity of 12 years and an average life of 10.5 years, and will bear interest at the rate of 8.6% per annum payable semi-annually. Including this borrowing, the World Bank has concluded ten long-term loans with Japanese trust banks for an aggregate amount of Yen 245 billion (about US$ 1 billion equivalent).
