Inter-American Development Bank
The specificity of Inter-American Development Bank (IADB)’s inaugural Australian dollar EYE – education, youth and employment – bond was key to its robust execution outcome, deal sources say, as local demand increases for high-quality and clearly defined use of proceeds for social-bond issuance. IADB has only previously issued public benchmark EYE bonds in US dollars.
Kauri issuance rebounded in May-June as more than NZ$2.6 billion (US$1.7 billion) priced, including a rare 10-year transaction of record volume for the tenor. Technical demand drivers are at play but intermediaries suggest positive conditions could remain even as a supply gap closes in the second half of 2020.
On 18 June, Inter-American Development Bank (IADB) (AAA/Aaa/AAA) launched a new, minimum NZ$150 million (US$96.5 million), five-year Kauri bond transaction. The forthcoming deal is being marketed at 43 basis points area over mid-swap, equivalent to 38.36 basis points area over New Zealand government bond. Pricing is expected on the day after launch, according to Commonwealth Bank.
Inter-American Development Bank (IADB) (AAA/Aaa/AAA) launched a minimum A$100 million (US$68.8 million) increase to its October 2025 Kangaroo bond on 7 November. Indicative price guidance for the forthcoming deal is 38 basis points area over semi-quarterly swap, equivalent to 49.9 basis points area over Australian Commonwealth government bond. Pricing is expected on the day of launch, according to Nomura.
SSA Yearbook 2019
The annual guide to the world's most significant supranational, sovereign and agency sector issuers.