World Bank Returns to the Sterling Market with a GBP 1 Billion 5-year Benchmark Bond

Washington, D.C., January 7, 2025 – The World Bank (International Bank for Reconstruction and Development, IBRD, Aaa/AAA) priced a long 5-year British pound sterling (GBP) benchmark bond due July 2030. The Sustainable Development Bond raised GBP 1 billion from investors to support the financing of the World Bank’s sustainable development activities in its member countries.

The bond offers an annual coupon of 4.5% and an annual yield of 4.532%. It was priced at +19.5 basis points over the 0.875% UK Gilt due 22 October 2030. BMO Capital Markets, J.P. Morgan Securities plc, Nomura and TD Securities are joint lead managers for the transaction. The bond will be listed on the Luxembourg Stock Exchange.

“We are delighted to begin the new year on a strong note, providing investors with a diverse range of currencies and maturities in bonds that support the World Bank’s sustainable development mandate, including this GBP 1 billion global bond,” said Jorge Familiar, Vice President and Treasurer, World Bank.

Investor Distribution

“Congratulations to the World Bank team on a fantastic GBP 1 billion benchmark transaction to start 2025. The six-month extension in the 5-year tenor attracted a broad range of investors and was very well-received – especially by the UK bank treasury community. We are thrilled to have supported the World Bank in this successful transaction,” said Sean Hayes, Managing Director, Global Head of Syndicate, BMO Capital Markets.

“The World Bank's first GBP deal of 2025 represents a significant addition to its fixed rate curve, with this GBP 1 billion issuance highlighting strong investor demand and underscoring the World Bank’s commitment to sustainable development. Congratulations to the World Bank team,” said Sarah Lovedee, Head of Supranational DCM, J.P. Morgan Securities.

“Congratulations to the World Bank on a successful start to 2025 adding a new 5-year reference point to the GBP curve. Against the backdrop of one of the busiest days for Sterling issuance, the World Bank has once again demonstrated an ability to stand out. The granular and diversified orderbook is testament to the World Bank’s strategic commitment to servicing the GBP investor base,” said Spencer Dove, MD Head of Sovereign, Supranational and Agency (SSA) DCM, Nomura.

“The World Bank continues to prove its exceptional standing in global capital markets with today's GBP 1 billion transaction, marking the third different currency accessed in benchmark format by the issuer already this year. Despite a busy pipeline from the broader SSA market, World Bank's impressive results across currencies are a testament to the global investor community's support for the name"” said Laura O'Connor, Managing Director, Fixed Income Origination & Syndication, TD Securities

Transaction Summary

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. More information on World Bank bonds is available at www.worldbank.org/debtsecurities.

World Bank bonds support the financing of programs that further the Sustainable Development Goals (SDGs). World Bank bonds are aligned with the Sustainability Bond Guidelines published by the International Capital Market Association and as such support the financing of a combination of green and social, i.e., “sustainable development” projects, programs and activities in IBRD member countries as described in the World Bank Sustainable Development Bond Framework. The World Bank is also a member of the Executive Committee of the Green Bond, Social Bond, and Sustainability Bond Principles. A key priority for the World Bank’s capital markets’ engagement is building strategic partnerships with investors to promote the importance of private sector financing in sustainable development. The World Bank’s Sustainable Development Bond Impact Report describes how the World Bank engages with investors on the SDGs and raises awareness for specific development challenges.

Disclaimers
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, 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 securities described herein are not committed or earmarked for lending to, or financing of, any particular projects or programs. Payments on the securities described herein are not funded by any particular project or program.

Contact
Investor Relations and Sustainable Finance | World Bank Treasury | debtsecurities@worldbank.org