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PRESS RELEASE August 3, 2016

World Bank Prices Successful 4-Year USD Global Bond

Washington, DC, August 3, 2016 – The World Bank (International Bank for Reconstruction and Development, IBRD, Aaa/AAA) today priced a USD 1.5 billion 4-year global that matures on August 10, 2020. This transaction is the World Bank’s second USD global bond of the new financial year*, and its second USD global bond with a 4-year maturity in 2016. World Bank is the only sovereign, supranational or agency (SSA) borrower to have issued a 4-year USD global in 2016.

The order book closed at USD 1.9 billion with over 46 accounts participating. Joint lead managers for this global bond are Barclays, Bank of America Merrill Lynch, and BMO Capital Markets. The 4-year global has a coupon of 1.125% per annum, payable semi-annually in arrear, and a maturity date of August 10, 2020. It offers investors a yield of 1.143% (semi-annual), equivalent to 35.3 basis points over the 0.750% UST due July 2019, making it the tightest USD transaction in the 4-year-or -longer part of the curve from the SSA sector in 2016.

“This 4-year global bond, although a rare maturity, allowed us to provide investors access to products across the curve. We are pleased with the results of the trade and are grateful for the support from our investors and financial partners who helped make this deal happen so quickly and efficiently,” said Andrea Dore, Lead Financial Officer, Capital Markets, World Bank.


Investor Distribution

By Geography

By Investor Type



Central Banks / Official Institutions


Asia Pacific


Banks / Bank Treasuries / Corporates




Asset Managers/Pension/Insurance


Middle East & Africa




Transaction Summary:


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

Issuer rating:

Aaa /AAA (Moody's / S&P)



Issue Amount:

USD 1.5 billion

Settlement date:

August 10, 2016


1.125% per annum

Coupon payment dates:

Payable semi-annually on 10 February and 10 August of each year

Maturity date:

August 10, 2020

Issue price:


Issue yield:

1.143% per annum (s.a.)


Luxembourg Stock Exchange

Clearing systems:

August 11 of each year from and including August 11, 2018 to and including the maturity date



Joint lead managers:

Bank of America Merrill Lynch, Barclays, BMO Capital Markets

*World Bank’s financial year begins July 1 and ends June 30.

Joint lead manager quotes
“The World Bank has once again demonstrated its ability to access the market all year round and obtain cost efficient funding with very little new issue concession. The issuer tailored their issuance strategy with the appropriate product here in order to meet current demand, capture the positive market and complement their liquid benchmark programme,” said Lee Cumbes, Managing Director, Head of Public Sector EMEA, Barclays.

“Having issued in the debt capital markets for nearly seventy years, the evolving World Bank investor story never gets old. World Bank has once again broadened its investor base, reaching exciting first-time buyers in this transaction. Longstanding shareholders also remained faithful, with Central Banks and Official Institutions snatching up over half of this unique 4-year bond,” said Sean Hayes, Director, SSA Origination & Syndicate, BMO Capital Markets.

“The World Bank team has delivered yet another successful transaction. The high-quality orderbook is a clear signal to the faith placed by investors in IBRD’s credit quality and status despite coming in a less-traditional maturity and at the height of the summer,” said Adrien de Naurois, Managing Director, SSA Syndicate, BofA Merrill Lynch

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. It operates as a global development cooperative owned by 189 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 bonds in the international capital markets for over 60 years to fund its sustainable development activities and achieve a positive impact. Information on bonds for investors is available on the World Bank Treasury website: www.worldbank.org/debtsecurities.