Washington, D.C., April 17, 2012—IFC,
a member of the World Bank Group, today announced the launch and pricing
of a $2 billion, five-year global bond issue. The issue, which is part
of IFC’s regular program of raising funds for private sector development
lending, helps IFC meet its fundraising goals for fiscal 2012.
Consistent with IFC’s practice, the
proceeds of this issue will be swapped into floating-rate U.S.-dollar funds
that will be available for IFC investments in emerging markets.
During the course of FY 2012, IFC has
raised $10 billion across a range of markets and currencies. U.S.-dollar
borrowings make up for about 70 percent of IFCs’ funding program. Other
funding sources include the Australian-dollar Kangaroo market, which represents
close to 20 percent of the funding program; the U.S. domestic market; and
the Japanese retail market. So far, IFC has issued bonds in 10 different
currencies this fiscal year.
“Our global bond issuance program provides
a strong foundation for funding loans to IFC clients while establishing
IFC as one of the premier issuers in the international capital markets,”
said Jingdong Hua, IFC Vice President and Treasurer. “Raising funds in
the U.S.-dollar market is therefore an integral part of our strategy to
support the development of the private sector—a key engine of job creation
and growth, in emerging markets and globally.”
“We are particularly pleased with the
balanced distribution of the issue, reflecting the strong following that
IFC has developed with investors globally, and especially with central
banks and other official institutions,” said John Borthwick, IFC Director
of Treasury Market Operations.
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. IFC’s
global bond issues provide a benchmark for IFC’s other borrowing, and
for the structured products it arranges for its clients. For the past two
years, IFC has issued two global bond issues within each calendar year.
The transaction was lead managed by
Deutsche Bank, JP Morgan, and Nomura International.
IFC Global Bond Summary Terms and
||April 17, 2012
||April 24, 2012
||April 24, 2017
||UST due March 2016 plus 16.3 bps
IFC Global Bond Distribution of Orders
By Geographic Region By Investor Type
Central Banks/Official Institutions
Banks and Corporates
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 www.ifc.org.