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PRESS RELEASE March 23, 2016

World Bank Prices a New USD 3 Billion 4-Year Global Bond

Washington DC, March 23, 2016 -- The World Bank (IBRD, Aaa/AAA) today priced a USD 3 billion 4-year global bond that matures on March 30, 2020. The transaction builds on the positive sentiment for the World Bank in the markets following the 3-year Global priced in January and the 5-year Global priced in March this year.

The orderbook closed in excess of USD 3.75 billion with 69 accounts participating, enabling the World Bank to move inside of initial price guidance to price a successful USD 3 billion global transaction.

Joint lead managers for this global bond are Bank of America Merrill Lynch, HSBC and TD Securities.

The 4-year transaction has a coupon of 1.375% per annum payable semi-annually and a maturity date of March 30, 2020. It offers investors a yield of 1.454% per annum (semi-annual), equivalent to 40.85 basis points over the 1% UST due March 2019.

"This World Bank benchmark bond offers investors much needed stability in times when safety, liquidity and performance are at the top of the priority list. We are grateful for the strong support we received for this transaction from investors all over the globe. It shows the high level of confidence the market has in the World Bank and investors’ desire to support the World Bank’s mission of promoting sustainable development in our borrowing member countries. We also want to thank our market-making partners for delivering such a successful transaction." said Arunma Oteh, Vice President and Treasurer, World Bank.

Investor Distribution

Investor Distribution by Geography

Investor Distribution by Type



Central Banks/Official Institutions




Bank Treasuries/Private Banks / Corporates




Asset Managers/Insurance/Pension Funds



Transaction Summary


World Bank 
(International Bank for Reconstruction and Development, IBRD)

Issuer rating:

Aaa /AAA




USD 3 billion

Settlement date:

March 30 2016


1.375% per annum

Coupon payment dates:

Paid semi-annually on 30 March and 30 September of each year

Maturity date:

March 30, 2020

Issue price:


Issue yield:

1.454% per annum (s.a)


Luxembourg Stock Exchange

Clearing systems:

Fedwire, Euroclear, Clearstream



Joint lead managers:

Bank of America Merrill Lynch, HSBC, TD Securities

Joint lead manager quotes:

“Another fantastic outing by the World Bank team. This transaction was beautifully timed and secured an exceptionally diverse order book in a less traditional benchmark maturity with no new issue premium” said Adrien de Naurois, BofAML Syndicate

“World Bank have a great track record in spotting market opportunities, targeting previously untapped pockets of demand. Investors are rarely offered 4-year fixed rate bonds in benchmark size so they seized the chance to buy a Global bond from a premier name with guaranteed liquidity and an attractive pick-up over 3 year comparables ” said Paul J. Bye, Managing Director, Global Head of Public Sector Syndicate, HSBC.

“This is an outstanding transaction which ticks all the boxes: tight pricing, large size and a very high quality orderbook. I have never seen a 4-year transaction reach this kind of size which is another impressive achievement from the World Bank” said Salvatore Aloisi, Head of Origination & Syndication (Europe), TD Securities.

The present transaction is consistent with the World Bank’s longstanding practice of deploying its franchise as an issuer in the international capital markets to offer investor’s high-quality, liquid instruments. This approach has direct benefits for World Bank member countries as well, since as a cooperative institution it is able to fund its activities as a provider of financial services to its members on highly attractive terms.

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 and the original member of the World Bank Group. 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 Group has two main goals: to end extreme poverty and promote shared prosperity. The World Bank (IBRD) seeks to achieve them primarily by providing loans, risk management products, and expertise on development-related disciplines to its borrowing member government clients in middle-income countries and other creditworthy countries, and by coordinating responses to regional and global challenges. The World Bank has been issuing sustainable development bonds in the international capital markets for over 60 years to fund its activities and achieve a positive impact. Information on bonds for investors is available on the World Bank Treasury website: www.worldbank.org/debtsecurities.