Press Releases

Second IFC Global Bond in 2011 Raises $3 Billion for Private Sector Development Lending

In Washington, D.C.:
Alexandra Klopfer

Phone: (202) 473-4645


Washington, D.C., November 17, 2011—IFC, a member of the World Bank Group, today announced the launch and pricing of a $3 billion five-year global bond issue. The issue is part of IFC’s regular program of fundraising for private sector development lending.

The issue follows a $2 billion, five-year transaction in April and marks the second time that IFC has issued two global bonds in one calendar year. Consistent with IFC’s practice, the proceeds of this transaction will be swapped into floating-rate U.S. dollar funds that will be available for IFC investments in emerging markets.  

“IFC’s global bond reflects our ability to raise funds for private sector development, and our commitment to offering investment vehicles to international capital markets during uncertain economic times,” said IFC EVP and CEO Lars Thunell. “The funds will support our efforts to contribute to global economic growth and job creation through the private sector in emerging markets.”

Jingdong Hua, IFC Vice President and Treasurer, said: “The strong demand for this global bond issue in a difficult market environment reflects our standing in the international capital markets as an issuer of high-quality, liquid instruments.”

The bond generated an order book of $3.72 billion via 66 investors. Demand from central banks and official institutions dominated, contributing 76 percent of the orders. Investors in Asia accounted for 37 percent of demand, while investors from Europe and the Middle East and North Africa accounted for 34 percent. Accounts from the Americas amounted to 29 percent of orders.

The bonds, which mature on November 23, 2016, and carry a semi-annual coupon of 1.125 percent p.a., were priced to yield 34.25 basis points over the benchmark 5-year, 1% U.S. Treasury bond.

IFC is the global leader among multilaterals in private sector development finance, accounting for about 30 percent of the financing committed by international financial institutions. The IFC global bond issues provide a benchmark for IFC’s other borrowing, and for the structured products it arranges for its clients.

The transaction was lead managed by Citigroup, HSBC, and JPMorgan.

IFC Global Bond Summary Terms and Conditions
Issue amount $3 billion
Pricing date November 16, 2011
Payment date November 23, 2011
Maturity date November 23, 2016
Re-offer price 99.507% of par
Re-offer yield 1.227% p.a.
Semi-annual coupon 1.125% p.a.
Re-offer spread UST 1% due October 2016 plus 34.25 bps
Format Global
Listing Luxembourg

IFC Global Bond Distribution of Orders
By Geographic Region By Investor Type
Asia 37% Central Banks/Official Institutions 76%
EMEA 34% Banks and Corporates 18%
Americas 29% Fund Managers 6%

About IFC

IFC, a member of the World Bank Group is the largest global development institution focused exclusively on the private sector. We help developing countries achieve sustainable growth by financing investment, providing advisory services to businesses and governments, and mobilizing capital in the international financial markets. In fiscal 2011, amid economic uncertainty across the globe, we helped our clients create jobs, strengthen environmental performance, and contribute to their local communities—all while driving our investments to an all-time high of nearly $19 billion. For more information, visit

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