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PRESS RELEASE March 14, 2017

World Bank Raises USD 4 Billion through a 3-Year Global Benchmark Bond to Support Global Development Priorities

Washington, DC, March 14, 2017 – The World Bank (International Bank for Reconstruction and Development, IBRD, Aaa/AAA) today issued a USD-denominated global benchmark bond that raised USD 4 billion from investors in the Americas, Asia, Europe, and Middle East and Africa. Proceeds of the bond will support the World Bank’s development activities around the world.

The 3-year bond transaction responds to investor demand for high quality assets at a time of increasing focus on the underlying rate environment in the US and greater global economic and political uncertainty. There were orders for over USD 5.6 billion from 88 investors representing central banks and official institutions (44%), bank treasuries and corporates (29%), and asset managers, insurance and pension funds (27%). Joint lead managers for this global bond are BNP Paribas, Deutsche Bank, Morgan Stanley, and RBC Capital Markets.

The 3-year benchmark has a semi-annual coupon of 1.875% per annum and a maturity date of April 21, 2020. It offers investors a yield of 1.904%, equivalent to 23.05 basis points over the 1.625% UST due March 15, 2020.

"This was an outstanding transaction. As with our previous bonds, it anchors our annual funding program and is instrumental to achieving our twin goals of eradicating extreme poverty and boosting shared prosperity. Its success not only reflects our track record as a premier issuer in the global capital markets, but also underscores the importance that investors accord to economic development. We value the strong commitment of our partners and bond investors who continue to see our transactions as opportunities to facilitate the financing of the Sustainable Development Goals," said Arunma Oteh, Vice President and Treasurer, World Bank.


Investor Distribution

By Geography

By Investor Type



Central Banks/Official Institutions




Banks/Bank Treasuries/Corporates




Asset Managers/Insurance/Pension Funds


Middle East and Africa




Transaction Summary


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

Issuer rating:

Aaa /AAA




USD 4 billion

Settlement date:

March 21, 2017


1.875% per annum

Coupon payment dates:

Paid semi-annually on April 21 and October 21 of each year (long first coupon to be paid on 21 October 2017)

Maturity date:

April 21, 2020

Issue price:


Issue yield:



Luxembourg Stock Exchange

Clearing systems:

Fedwire, Euroclear, Clearstream



Joint lead managers:

BNP Paribas, Deutsche Bank, Morgan Stanley, and RBC Capital Markets

Senior co-lead managers:

Bank of Montreal, Castle Oak, Incapital, Wells Fargo

Co-lead managers:

Bank of America Merrill Lynch, Barclays, Citi, Credit Agricole, First Tennessee (FTN), Goldman Sachs, HSBC, Jefferies, JP Morgan, Nomura, Mitsubishi, Mizuho, TD Securities, Tokai Tokyo


Joint lead manager quotes

“Another excellent outcome for the World Bank raising size at the tightest level for any SSA yet in 2017. With just over 25% placed into the US, also more evidence of the continued broadening of investor diversification that their funding strategy generates,” said Jamie Stirling, Global Head of SSA DCM, BNP Paribas.

“By tapping into the strong demand at the front end of the SSA curve with a new 3-year global, priced at the tightest spread to mid-swaps so far for a supranational this year, the World Bank has once again picked the optimal maturity in response to a more uncertain environment. The fact that so many different investors have flocked to the World Bank is a testament of the issuer’s appeal as a liquid quality asset. We congratulate the World Bank on this fantastic result,”said Steven Jallport, Head of SSA Origination, Deutsche Bank.

“The World Bank has returned to the market with a textbook transaction, and continued to set new records and show its leadership, by pricing this new 3-year transaction at levels versus swaps that we have not seen in the benchmark USD SSA marketplace since the World Bank's own long 2-year transaction from June 2015. Given the volatility in swap spreads, it needed a flagship issuer like the World Bank to reinvigorate the USD SSA market, and re-establish new market standards. The size of this deal demonstrated the World Bank’s continued appeal to investors across the globe, as well as its ability to dynamically and proactively respond to market conditions and investor feedback. The success of this issuance further underscores the World Bank’s continued pre-eminent status in the SSA universe,” said Navindu Katugampola, Head of SSA Origination, Morgan Stanley.

“The World Bank has yet again successfully navigated an uncertain market and the narrowest of windows to demonstrate unmatched access to the global investor base. The quality of the demand despite paying a very tight headline spread and effectively no new issue concession says it all,” said Jigme Shingsar, Head of US SSAs, RBC Capital Markets. 

The present transaction is consistent with the World Bank’s longstanding practice 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 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 has two main goals: to end extreme poverty and promote shared prosperity. It 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. It has been issuing sustainable development bonds in the international capital markets for 70 years to fund its activities that achieve a positive impact. Information on World Bank bonds for investors is available on the World Bank Treasury website: