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• Global Demand: The AUD 1.75B 5-year bond attracted over AUD 3.1B in orders from 70+ investors.
• Sustainable Focus: Proceeds will support green and social projects across IBRD member countries.
• Diverse Participation: Asia (42%), Australia (34%), and EMEA/Americas (24%) contributed, with strong interest from banks, asset managers, and central banks.

The World Bank kicked off its 2025 funding program with an Australian dollar (AUD) 1.75 billion 5-year Sustainable Development Bond, maturing January 10, 2030. The bond, offering a 4.35% fixed annual rate, priced at +42 basis points over the Australian government bond due November 2029.

“We are pleased to kick off 2025 with a transaction in the Australian dollar market again – this is an excellent start to the World Bank’s funding program for the new year,” said Jorge Familiar, Vice President and Treasurer, World Bank. “This benchmark provides global investors an opportunity to support the World Bank’s mission for a livable planet through a high-quality investment.”

Investor Breakdown:

• By Geography:
  • Asia: 42%
  • Australia: 34%
  • EMEA & Americas: 24%
• By Investor Type:
  • Banks/Bank Treasuries: 48%
  • Asset Managers/Insurance/Pension Funds: 33%
  • Central Banks/Official Institutions: 19%

Related Article: World Bank Raises GBP 700 Million in 10-Year Sustainable Development Bond to Support Global Initiatives

Market Reception:

The bond saw strong demand, receiving over AUD 3.1 billion in orders. Joint-lead managers ANZ, Commonwealth Bank of Australia (CBA), Nomura, and RBC praised the transaction’s success:

ANZ:“The AUD 3.1 billion final orderbook underscores the robust and diverse investor base that the World Bank has cultivated in the Kangaroo market,” said Brenton Smith, Director Debt Syndicate, ANZ.

CBA:“The transaction attracted diverse investors from domestic and international buyers. We were pleased to see Australian investors engaging meaningfully in the SSA sector at the start of the year,” said Nikolaus Romuld, Head of Bond Syndicate, CBA.

RBC Capital Markets:“The World Bank’s commitment to the Australian dollar market has once again borne fruit,” noted Harald Eikeland, Head of APAC Syndicate, RBC.

Nomura:“The deal saw a record number of investors and drew more support than any other SSA issuer in this market,” said Oliver Holt, Head of AeJ DCM and Syndicate, Nomura.

The successful issuance reaffirms the World Bank’s influence in the Kangaroo bond market and its role in promoting sustainable development through strategic global funding initiatives.

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