Tokyo, June 8, 2010 – The World Bank (International Bank for Reconstruction and Development, rated Aaa/AAA) and SBI Securities Co., Ltd. announced the completion of two World Bank green bond transactions sold online to Japanese retail investors. These 5-year bonds are denominated in South African rand (ZAR) and Mexican pesos (MXN) and mark the first World Bank green bonds to be sold exclusively online, and through SBI Securities.
Including these green bonds that raised a total USD 6.7 million equivalent, the World Bank has issued 20 green bonds in 15 different currencies, raising a total of approximately USD 1.5 billion. World Bank green bonds raise funds from fixed income investors to support the World Bank’s lending for eligible projects that seek to mitigate climate change or help affected people adapt to it.
Summary of Terms*
Amount (millions) | MXN 40 | ZAR 25 |
Settlement Date | 6/8/10 | 6/8/10 |
Maturity Date | 6/8/15 | 6/8/15 |
Issue Price | 100% | 100% |
Redemption Amount | 100% | 100% |
Coupon | 6.15% s.a | 7.2% s.a |
Denomination | MXN 50,000 | ZAR 25,000 |
Lead Manager | JPM | JPM |
*Settlement and clearing for all bonds will be through Euroclear/Clearstream.
For more information on World Bank Green Bonds, please visit https://treasury.worldbank.org/greenbonds.
World Bank green bonds support World Bank-funded projects that are designed to tackle the causes and consequences of climate change in the developing world. The types of projects that may be supported by World Bank green bonds include alternative energy installations, funding for new technologies that reduce greenhouse gas emissions, reforestation, watershed management and flood protection. The proceeds of the issuance will be credited to a special account that will be used to support these sorts of projects. To date, the World Bank has issued the equivalent of over USD 1.5 billion of green bonds.
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 186 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 overriding goal is to achieve major, sustainable improvements in standards of living worldwide. It has been issuing bonds in the international capital markets for over 60 years to fund its activities. The World Bank is one of the most recognized and innovative borrowers in the international capital markets. The World Bank designed and issued the first global bond in 1989. Information on bonds for investors is available on the World Bank Treasury website: www.worldbank.org/debtsecurities.
