World Bank’s USD 7-Year Sustainable Development Bond draws strong investor demand

DBT Bureau

Pune, 21 August 2026

The World Bank (International Bank for Reconstruction and Development, IBRD, Aaa/AAA) priced a USD 4 billion benchmark bond that matures in August 2033.

With more than 150 investor orders, the transaction attracted over USD 11 billion in high-quality investor orders, primarily driven by bank treasuries, central banks/official institutions, and asset managers.

The lead managers are Bank of America, Morgan Stanley, Nomura, and TD Securities. The bond pays a semi-annual coupon of 4.50%, offers a spread of 3.9 basis points versus the reference US Treasury. It will be listed on the Luxembourg Stock Exchange.

“This 7-year Sustainable Development Bond demonstrates the confidence that high-quality investors place in the World Bank’s mission and its ability to mobilize capital for sustainable development,” said Jorge Familiar, Vice President and Treasurer, World Bank Group. “The quality of the orderbook reflects investors’ recognition of the World Bank’s financial strength and the positive impact of the programs these bonds support.”

Investor Breakdown by Type

Investor Breakdown by Geography

Lead Manager Quotes

“Congratulations to the World Bank on an impressive return to the USD market and its first USD benchmark of the new fiscal year. The USD 4 billion print was met with strong investor demand, highlighting the enduring strength of the World Bank’s relationship with its global investor base and the market’s continued support for its sustainable development mandate. Bank of America is delighted to have played a role in the successful execution of this landmark transaction,” said Kamini Sumra, Managing Director, BofA Securities.

“We congratulate the World Bank team on a highly successful return to the USD market for a   a stellar USD 4 billion 7-year trade. Again, the World Bank has demonstrated its strength with a high-quality diversified orderbook with strong demand from the outset that kept growing throughout the transaction. The deal is a true reflection of the issuer’s standing amongst the investor community. Morgan Stanley was honoured to have supported the World Bank in this syndication,” said Ben Adubi, Head of Sovereign, Supranational and Agency (SSA), Morgan Stanley.

“The World Bank has once again demonstrated true market leadership, opening the post summer markets.  Investors and issuers always take comfort in the capital markets when the World Bank demonstrates the strength of the market,” said Spencer Dove, Managing Director, Head of SSA Debt Capital Markets, Nomura.

“Another outstanding benchmark transaction from the World Bank – and its second fixed-rate USD offering of 2026. Reopening the USD primary markets after the summer break highlights the continued global appeal of the World Bank name, especially for duration tenors,” said Paul Eustace, Global Head of SSA, TD Securities.

Transaction Summary