The World Bank signed today during its Annual Meeting a subscription agreement for a Euro Norwegian Kroner borrowing consisting of NKr 250 million (approximately US$29.7 million equivalent) principal amount of 11% seven year notes, due October 12, 1991. The issue was offered at 100.25%. The yield to subscribing investors is 10.66% on a semi-annual coupon equivalent basis. The notes, placed with non-residents of Norway, have been fully subscribed.
The borrowing was lead managed by Christiania Bank og Kreditkasse in association with the following co-managers: Amro International Limited Bank Brussel Lambert N.V., Bergen Bank A/S, Commerzbank Aktiengesellschaft, Credit Suisse First Boston Limited, Den Norske Creditbank, Deutsche Bank Aktiengesellschaft, Kredietbank N.V., Merrill Lynch Capital Markets, Morgan Stanley International, Orion Royal Bank Limited, Societe Generale, Sparebanken Oslo Akershus, Swiss Bank Corporation International Limited, and S.G. Warburg & Co. Ltd.
The net proceeds to the World Bank from the borrowing will be used in the general operations of the Bank.
The World Bank is headquartered in Washington, D.C. and has been in operation since June 1946. Its membership comprises 148 governments around the world. The principal purpose of the Bank is to promote the economic development of its member countries in the interest of fostering the long-term growth of international trade and improved standards of living. Its principal activity is providing loans for specific projects and related technical assistance. From its establishment to June 30, 1984 the Bank had approved loan commitments in an aggregate principal amount equivalent to about $102.8 billion to finance programs and projects in 102 countries.