WASHINGTON, DC, October 16, 2023 – The World Bank (International Bank for Reconstruction and Development or “IBRD”, rated Aaa/AAA) today announced a new investment solution designed for retail investors in Italy, a EUR-denominated 5-year fixed rate callable Sustainable Development Bond. BNP Paribas is acting as the dealer for the bonds.
Proceeds of the bond will be used to support the financing of eligible sustainable development activities designed to achieve positive social and environmental impacts in developing countries in line with the World Bank’s mission to reduce poverty and boost shared prosperity on a livable planet.
The bonds will be offered to investors from October 16, 2023, until November 10, 2023, subject to any early termination or extension of the offer period or cancellation of the issuance of the bonds. Application will be made for listing and to trading on the Euronext Milan regulated market, EuroMOT segment, managed by Borsa Italiana S.p.A. The minimum investment threshold is EUR 1,000.
The EUR-denominated Sustainable Development Bond pays a minimum annual gross fixed rate quarterly coupon of 3.00% per annum. At the end of the offer period, which is currently set to be November 10, 2023, the final coupon rate will be announced, which may be confirmed or revised, albeit only upwards, depending on market conditions during the offer period.
Further information about the Sustainable Development Bonds can be found on the website https://investimenti.bnpparibas.it/prodotti-di-investimento/obbligazioni/obbligazioni-world-bank/XS2702860896
Summary of terms (*)
World Bank (International Bank for Reconstruction and Development, IBRD)
5 years, unless called earlier
17th November 2028
Issue and Settlement Date:
17th November 2023
Minimum fixed rate* at 3% per annum, paid quarterly (*rate will be fixed at the end of the offer period)
Offer price (minimum purchase amount):
EuroMOT segment of Borsa Italiana
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 is the original member of the World Bank Group and operates as a global development cooperative owned by 189 nations. The World Bank provides loans, guarantees, risk management products, and advisory services to middle-income and other creditworthy countries to support the Sustainable Development Goals and to end extreme poverty and promote shared prosperity. It also provides leadership to coordinate regional and global responses to development challenges. The World Bank has been issuing sustainable development bonds in the international capital markets for over 70 years to fund programs and activities that achieve a positive impact. The World Bank’s Sustainable Development Bond Impact Report illustrates how World Bank bond proceeds support the financing of sustainable development projects and programs and contribute to achieving the SDGs.
More information on World Bank bonds is available at www.worldbank.org/debtsecurities.
About BNP Paribas
BNP Paribas is a leading bank in Europe with an international reach. It has a presence in 75 countries, with more than 189,000 employees, including more than 146,000 in Europe. The Group has key positions in its three main activities: Domestic Markets and International Financial Services and Corporate & Institutional Banking, which serves corporate and institutional investors. The Group helps all its clients (individuals, community associations, entrepreneurs, SMEs, corporate and institutional clients) to realise their projects through solutions spanning financing, investment, savings and protection insurance. In Europe, the Group has four domestic markets (Belgium, France, Italy and Luxembourg) and BNP Paribas Personal Finance is the leader in consumer lending. BNP Paribas is rolling out its integrated retail-banking model in Mediterranean countries, in Turkey, in Eastern Europe and a large network in the western part of the United States. In its Corporate & Institutional Banking and International Financial Services activities, BNP Paribas also enjoys top positions in Europe, a strong presence in the Americas as well as a solid and fast-growing business in Asia-Pacific.
For further information visit https://investimenti.bnpparibas.it.
This press release is not an offer for sale of securities of the International Bank for Reconstruction and Development ("IBRD"), also known in the capital markets as "World Bank". Any offering of World Bank securities will take place solely on the basis of the relevant offering documentation including, but not limited to, the prospectus, term sheet and/or final terms, as applicable, prepared by the World Bank or on behalf of the World Bank, and is subject to restrictions under the laws of several countries. World Bank securities may not be offered or sold except in compliance with all such laws. The World Bank Sustainable Development Bond Framework and The World Bank’s Sustainable Development Bond Impact Report and the information set forth therein are not a part of, or incorporated by reference into, the offering documentation.
Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any particular projects or programs. Payments on the bonds described herein are not funded by any particular project or program.
This press release contains or references links to websites operated by third parties ("Third Party Websites"). These links are provided for information purposes only. Third Party Websites are not under control of IBRD. IBRD is not responsible for the content of, or links contained in, any Third Party Website, and the inclusion of such links does not imply IBRD endorses, recommends, or accepts any responsibility for the content of such Third Party Website.
The World Bank
+1 202 477 2880
Community (on behalf of BNP Paribas)
Silvia Tavola/Angela Gammino
+39 02 89404231