WASHINGTON, D.C., May 7, 2026 - The World Bank (International Bank for Reconstruction and Development, IBRD, rated Aaa/AAA) today priced an Australian dollar 2 billion 5.5-year Sustainable Development Bond due November 2031.
The World Bank Group's mission is to end extreme poverty and boost shared prosperity on a livable planet. Building the foundation for job creation and inclusive growth are central to this mission. Proceeds of the bond will be used to support the financing of eligible sustainable development activities in line with this mission and designed to achieve positive social and environmental impacts in developing countries.
The transaction received over 80 high-quality orders, with an orderbook totaling over AUD 6.5 billion driven by bank treasuries, asset managers, and central banks/official institutions. The 5.00% p.a. fixed-rate bond equates to a spread of +34.75 basis points over the Australian government bond due November 2031.
The joint-lead managers for the transaction are Commonwealth Bank of Australia, Deutsche Bank, RBC Capital Markets, and TD Securities. The bond will be listed on the Luxembourg Stock Exchange.
"This outstanding Australian dollar transaction reaffirms the strong relationship between the World Bank and Australian dollar investors whose support reached a new milestone, with the largest orderbook ever for a World Bank AUD bond. The quality and depth of demand underscores investor support for the World Bank and a shared commitment to channeling long-term capital toward building prosperity and creating jobs that lift people out of poverty," said Jorge Familiar, Vice President and Treasurer, World Bank Group.
Investor Distribution
By Geography |
By Investor Type |
||
Australia |
38% |
Banks/Bank Treasuries |
43% |
EMEA and Americas |
35% |
Asset Managers/Insurance/Pension Funds |
38% |
Asia |
27% |
Central Banks/Official Institutions |
19% |
Joint Lead Manager Quotes
"Congratulations to the World Bank team for an outstanding result on their return to the AUD market and first benchmark in this market for 2026. This new AUD 2 billion 5.5-year Sustainable Development Bond transaction sets another high watermark for not only the World Bank, but the supranational sector overall. This transaction set new records for both orderbook size for a supranational issuer in AUD and total number of investors in an AUD orderbook for the World Bank. This incredible result manifests the fruits of tireless investor work over many years by the World Bank team to develop and maintain key investor relationships. It was a pleasure for the CBA team to work on this landmark transaction," said Nik Romuld, Global Head of Frequent Borrower DCM and Syndicate, Commonwealth Bank of Australia (CBA).
"We are proud to have played a role in the World Bank's joint largest AUD transaction, which attracted a globally diversified investor base across Australia, Asia, and Europe. The AUD 6.5 billion size of the final orderbook highlights the World Bank's position as a leading issuer in the Australian market and reflects the depth of investor demand for the issuer. The execution delivered competitive pricing and scale for the World Bank, reinforcing the relevance of the AUD market as a core part of the issuer's funding strategy," said Alix Kennedy, AUD Syndicate, Deutsche Bank.
"RBC is proud to have acted as a joint lead manager for World Bank's first AUD transaction for 2026, this long-awaited AUD benchmark transaction was a testament to the World Bank's appeal to Australian dollar investors, domestically and abroad. This transaction garnered the largest orderbook for a supranational issuer in this market and it was the tightest spread for a new 5.5-year transaction in 2026. Congratulations to the World Bank for yet another successful outing in the AUD market," said Harald Eikeland, Director, Head of Syndicate APAC, RBC Capital Markets.
"This was an impressive return to the AUD market for the World Bank, pricing their joint largest AUD benchmark ever, at AUD 2 billion in size. The transaction amassed final orderbooks in excess of AUD 6.5 billion - the largest ever recorded by a supranational issuer, across a diverse range of high-quality domestic and international investors. TD Securities is delighted to have been involved in this transaction," said Matt Jaconelli, Director, TD Securities.
Transaction Summary
Issuer: |
World Bank (International Bank for Reconstruction and Development, IBRD) |
Issuer rating: |
Aaa /AAA (Moody's/S&P) |
Amount: |
AUD 2,000,000,000 |
Settlement date: |
May 14, 2026 |
Minimum denominations and minimum holding: |
AUD1,000 with a minimum consideration when offered or sold within Australia of AUD500,000 |
Coupon: |
5.00% p.a. payable semi-annually |
Maturity date: |
November 14, 2031 |
Re-offer price: |
99.924% |
Re-offer yield: |
5.016% (semi-annual) |
Listing: |
Luxembourg Stock Exchange |
Clearing systems: |
Austraclear / Euroclear / Clearstream |
ISIN: |
AU3CB0334688 |
Joint lead managers: |
Commonwealth Bank of Australia, Deutsche Bank, RBC Capital Markets, and TD Securities |
About the World Bank
