WORLD BANK BONDS FOR

SUSTAINABLE DEVELOPMENT
 What is the World Bank?
Why invest with the World Bank?
What investment products does the
ROADMAP World Bank offer?
How is the World Bank engaging
with investors on the Sustainable
Development Goals?
Annex: Project stories
 © World Bank

WHAT IS THE WORLD BANK?

 WORLD BANK INTRODUCTION
• International organization owned by 189 member countries – its owners are
its clients.
• Purpose is to end extreme poverty on a livable planet. These goals
align with the Sustainable Development Goals.
• The world’s largest source of development finance and expertise – 75+
years of financing development projects.
• About $240 billion in loans outstanding to 77 countries.
• Nearly 12,000 staff in 136 offices. Headquarters in Washington, DC.
• Largest shareholders: US, Japan, China, Germany, France, and the UK. © World Bank

• International Bank for Reconstruction and Development – IBRD, known as World Bank Headquarters
“World Bank” in the capital markets, is rated AAA/Aaa based on its capital, Washington, DC

reserves and prudent financial policies.

3
 HISTORY OF THE
WORLD BANK
IBRD was created in 1944 to rebuild Europe after World
War II and was soon referred to as the “World Bank”.
 IBRD was designed to be financially self-sustaining
and earn income to support its development activities.
 First loans were made to developed countries for
reconstruction purposes.
 IBRD's focus shifted towards poverty alleviation in
the 1960s and it continued to lend to countries that
were creditworthy and could borrow at market-based
rates.
 In the 2020s an explicit focus on global public goods
led to adding “on a livable planet” to the vision.

4
 OVERVIEW

IBRD IDA IFC MIGA ICSID

INTERNATIONAL BANK FOR INTERNATIONAL INTERNATIONAL MULTILATERAL INTERNATIONAL CENTRE
RECONSTRUCTION AND DEVELOPMENT FINANCE INVESTMENT FOR THE SETTLEMENT OF
DEVELOPMENT ASSOCIATION CORPORATION GUARANTEE AGENCY INVESTMENT DISPUTES

Provides loans to Provides loans and grants Promotes development by financing Promotes foreign direct Provides international
governments of middle- to governments of lower- private sector enterprises in investment into developing facilities for conciliation and
income countries. income countries. developing countries. countries by offering political arbitration of investment
risk insurance (guarantees) disputes.
to investors and lenders.

Issuer of World Bank Funds raised from Issuer of IFC Bonds

(IBRD) Bonds donors and IDA Bonds
144A/RegS

IBRD, IDA and IFC are all three rated AAA/Aaa. They share the same overall development goals,
but are legally separate entities. Each has its own risk profile and capital structure.
The World Bank Treasury is the treasury for IBRD and IDA.
5
 SUSTAINABLE DEVELOPMENT BONDS
All World Bank bonds support sustainable development. They offer investors
the opportunity to invest in financial products with a high credit rating while
supporting projects with positive impact

01 02 03

© World Bank © World Bank

Goals of the World Bank Project Results Sustainable Development

Group Goals (SDGs)

6
 THE WORLD BANK BUSINESS MODEL
How World Bank Projects are Financed

Financing and knowledge supports projects across sectors

Private Financing for

Bond
Investors Borrowing
Proceeds Agriculture Education Energy & Extractives
Member
Countries

Financial Sector Health Industry & Trade

Principal + Principal +
Interest
Paid-in Interest
Capital Info & Public Social Protection
Communications Administration
+ Reserves
Strong balance sheet,
prudent risk
management & capital
Transportation Water/Sanitation/Waste
supports triple-A rating

7
 PROJECTS MUST MEET
STRICT STANDARDS

The World Bank works with its member countries

to design projects that meet their sustainable
development needs.

All projects are designed to:

• Address country-identified priorities
• Contribute to World Bank goals
• Meet environmental and social standards
• Make a positive impact

8
 OVERLAPPING CRISES
The World Bank is responding with impact, speed and scale to
help member countries
Shocks have had both a deep direct human and economic impact as well as long-term adverse
spillovers on developing countries, threatening to reverse decades of development gains.

© Jorge
© World Bank © World Bank © World Bank Villalba/iStock

Impacts of Lingering Commodity shocks, Wars and

climate change pandemic effects food insecurity persistent fragility
9
 EVOLUTION PROCESS
Transforming the World Bank to Leverage its Impact
The World Bank and other Multilateral Development Banks (MDBs) are increasingly important in addressing
global challenges such as poverty, shared prosperity, inclusion, resilience, sustainability, and cross-border issues
like climate change, pandemics, and conflict and violence.
The three building blocks of the World Bank’s Evolution Process:

Vision & Mission Operating Model Financial Model

Our new vision is to create a world We are introducing While maintaining the triple-A credit rating that
free of poverty on a livable planet and enhancements to our allows us to efficiently leverage shareholder
our new mission is to end extreme country engagement model, equity, we have been making available more
poverty and boost shared prosperity analytics, financing resources through balance sheet optimization and
on a livable planet by strengthening instruments, and incentives, we are attracting more funds for increasing our
inclusion, resilience, and to focus more on outputs equity (e.g. through hybrid capital), as well as
sustainability. rather than inputs. more resources for concessional funding.

10
 FOCUS ON GLOBAL CHALLENGES
The World Bank’s shareholders support focus on global goals
The World Bank is committed to addressing the most pressing global challenges faced by our member countries.
Our focus areas encompass a wide range of critical issues:

Climate Energy Food, Water Protecting Pandemic Fragility & Enabling

Change Access Nutrition & Security & Biodiversity & Prevention & Conflict Digitization
Mitigation Security Access Nature Preparedness
and
Adaptation

11
 WORLD BANK GROUP’S CLIMATE
CHANGE ACTION PLAN
Aligning with the Paris Agreement, increasing Climate Finance
World Bank to be Paris Aligned by July 1, 2023 World Bank Group to Increase Overall Flows to Climate
With at least 50% of climate financing going to adaptation
Definition Country Circumstances
Provision of support to Paris Agreement gives countries World Bank Group World Bank Group
clients that is consistent latitude in the pathways they Climate Finance Target (%): Climate Finance ($ billion):
with pathways towards choose based on country
equitable, sustainable, circumstances in integrating
low-carbon, and climate-
resilient development
climate and development
35% FY21-25 target
$38.6B FY23

Adaptation Mitigation
Ensuring physical risk Ensure investments support
mitigation measures are
fully embedded in
project design
limiting global warming to well
below 2 degrees, recognizing
that peaking of GHG emissions
26% FY16-20 average
delivered $21.4B FY21

will take longer for developing

countries
*Institutions of the World Bank Group that contribute climate benefits include: IBRD, IDA, IFC and MIGA and
averaged together.

Learn more about the World Bank’s Climate Change

Action Plan (link)
12
 CLIMATE ACTION
CUTS ACROSS SECTORS
100% of all IBRD projects are screened for climate risk and impact
92% of all IBRD projects (by #) had climate financing in FY23, representing
41% of all commitments (by dollar value)
Climate Results Cut Across all World Bank Sectors

Energy & Extractives Finance & Competitiveness

Agriculture Governance
Urban Resilience & Land Trade
Transport Poverty & Equity
Water Education
Environment, Natural Resources & Blue Economy Health, Nutrition and Population
Social Sustainability & Inclusion Social Protection
Digital Development

13
 © Bru_Greg/iStock

WHY INVEST WITH THE WORLD

BANK?
 KEY FEATURES OF
WORLD BANK BONDS

Decades in capital Special Safety Development

market, wide range
of products Features Mandate
• 0% Basel II and III risk • Strong balance sheet as a • The World Bank’s sustainable
• Issuing debt since 1947;
weighting minimizes capital result of prudent financial development programs aim to
triple-A rating since 1959
requirements policies achieve positive social and
• Fixed income products in environmental impacts in
• Liquid bonds are classified as • Funds only for sovereigns/
multiple currencies, member countries
“Level 1 HQLA” (high quality sovereign-guaranteed
structures and maturities
liquid assets) projects

15
 WHY INVEST? SECURITY
AAA/Aaa Credit rating

Conservative Financial Policies Conservative Risk Management

• States only as borrowers • Fixed credit limits
• Limits for individual countries • Equity to loans ratio granted only takes
• Borrowers are also shareholders into account the equity paid in
• Preferred creditor status • Strict and conservative investment policy

Solid Capital Structure High Liquidity

• Equity US$60 bn (FY23) • Target liquidity level is 12 months
• Callable capital US$296 bn (FY23) coverage (US$59 bn in FY24)
• 189 government shareholders • Actual liquidity exceeds target
• 2018 capital increase of US$7.5 bn (US$75 bn in FY23)
increases borrowing capacity • Bond portfolio with securities rated
AAA/AA

16
 BALANCE SHEET STRUCTURE
Key Balance Sheet Items (as of June 30, 2023, in billions US$)

Loans Outstanding (a) Borrowings

US$241 US$237

Investments (b) Equity

US$80 US$60

Other US$12 Other US$36

US$333 US$333

Assets Liabilities & Equity

(a) Net of accumulated loan loss provision and deferred loan income
(b) Investments and due from banks; of this amount, the liquidity portfolio is US$75billion
17
 WORLD BANK’S STRONG
CREDIT QUALITY
DIVERSIFIED SUBSTANTIAL
QUALITY LOAN PORTFOLIO PRUDENT RISK MANAGEMENT
SHAREHOLDER BASE LIQUIDITY

• Global diversification Top 10 Country Exposures for IBRD

(as of June 30, 2023, US$ billions)
• Lending only to sovereign or sovereign-guaranteed projects 30

• Borrowing clients are also shareholders; increased 25

incentive to repay 20

15
• Preferred creditor treatment – borrowing clients prioritize
financial obligations to the World Bank – recognized by 10

rating agencies and financial market participants 5

• Policy of freezing additional lending if payments not on time 0

• Single Borrowing Limits (SBL) for individual countries

• Graduation Discussion Income (GDI) is the level of per $28 billion SBL for highly creditworthy countries below the GDI

capita income of a member country above which $21.2 billion SBL for highly creditworthy countries above the GDI
graduation from IBRD starts being discussed.
18
 WORLD BANK’S STRONG
CREDIT QUALITY
DIVERSIFIED SUBSTANTIAL
QUALITY LOAN PORTFOLIO PRUDENT RISK MANAGEMENT
SHAREHOLDER BASE LIQUIDITY

Total Subscribed Capital

Shareholder Support US$ billions as of June 30, 2023
• IBRD bonds are supported by the strength of its balance Paid-in Capital US$21.8
sheet and support of its 189 sovereign shareholders Callable Capital US$296.0
Subscribed Capital US$317.8
Largest Shareholders
Callable Capital
• United States, 16.64%
• The World Bank’s financial policies are designed to
• Japan, 7.59%
minimize the need for a call on capital and key
• China, 5.88% management tools like the Equity-to-Loans ratio targets
• Germany, 4.50% do not take callable capital into account.
• France, 4.12% • No call has ever been made on a callable capital.
• United Kingdom, 4.12% • Callable capital can only be called to satisfy debt
obligations. Shareholders are responsible for the full
By percentage of total subscription as of June 30, 2023
amount of their callable capital subscription regardless of
ability to fulfill their obligations.
19
 WORLD BANK’S STRONG
CREDIT QUALITY
DIVERSIFIED SUBSTANTIAL
QUALITY LOAN PORTFOLIO PRUDENT RISK MANAGEMENT
SHAREHOLDER BASE LIQUIDITY

• Conservative financial policies are designed to Equity-to-Loans Ratio

(US$ billions; FY23)
minimize the need for a call on capital.
• Key risk management indicators do not factor in
callable capital ($296 billion) to determine IBRD’s
risk-bearing capacity.
$241
71.2%
• The key risk tolerance indicator, Equity-to-Loans $296
Callable Capital
Ratio is set at a policy minimum of 19%. As of June Outstanding
Loans
30, 2023, the total outstanding amount of loans made
by IBRD was $241 billion to useable equity of $53
billion (E/L Ratio of 22%). 22%

Useable Equity
• FX and interest rate risks managed carefully to $53
(Reserves + Paid-In Capital)
$20
minimize risks.

20
 WORLD BANK’S STRONG
CREDIT QUALITY
DIVERSIFIED SUBSTANTIAL
QUALITY LOAN PORTFOLIO PRUDENT RISK MANAGEMENT
SHAREHOLDER BASE LIQUIDITY

• The target liquidity level represents 12 months coverage as Liquid Assets

calculated at the beginning of every fiscal year. (as of the end of each Fiscal Year) 83
79 80 79
75
• Actual liquidity exceeds the estimated liquidity requirement to 70 72
66 68
provide financial flexibility in the timing of new debt issuance
56 57
while meeting obligations. The FY24 target liquidity level was 51 52 54
set at US$59 billion, US$5 billion higher than FY23 Target 45
42
Liquidity Level due to higher projected debt service for FY24. 34 34 33
28 28 28
• Liquidity portfolio is conservatively managed against strict 22
25 26
21 21 21
guidelines. Eligible investments are highly rated fixed income
securities rated AA- or better for governments and agencies,
and AAA for corporates and ABS.
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Required Liquidity (US$ bn) Actual Liquid Assets (US$ bn)

21
 © Anmuelle/iStock

WHAT INVESTMENT PRODUCTS

DOES THE WORLD BANK OFFER?
 FUNDING STRATEGY
Meet Investors’ Needs
 Offer a wide range of debt instruments from a AAA/Aaa
issuer, with various characteristics including flexible
structures, size, liquidity and maturities.
 Customize products to meet investor preferences
 Maturities up to 50 years.
 A 0% Basel II and III risk weighting minimizes capital
requirements.
 Liquid bonds are considered level 1 HQLA (high quality
liquid assets).
 Bonds have ‘green’ or ‘sustainability’ bond tag in Bloomberg
High Execution Standards
 Broad sponsorship from underwriters with solid primary
placement with a diversified investor base.
 Strong aftermarket spread performance for liquid bonds.
23
 FUNDING PROGRAM
Investors have a wide choice of products to chose from

Products Global & Benchmark Non-Core Currency Structured Notes & Capital-at-Risk Notes Discount Notes
Bonds Bonds Callable Bonds

Liquidity Diversification Customization Extra Yield Potential Cash Management

80
70
USD EUR 60
65% 15%
50
40 Structured/ Risk Transfer
Notes
30
Other Other/ Plain Vanilla Bonds
20
20%
10
Benchmark/ Global Bonds
Fiscal Year 2023 0
FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23

24 Note: Trade date FX rates used for converting non-USD currencies to USD equivalents.
 SUSTAINABLE DEVELOPMENT BONDS
Connecting Investment with Purpose
World Bank bonds provide investors with an opportunity to do well by doing good.

© World Bank

Bond proceeds World Bank supports Environmental Project Cycle 17 Sustainable

support the financing sustainable & Social Standards Development Goals
of green and social development
projects

World Bank Sustainable Development Bonds and Green Bonds are:

• aligned with the Sustainability Bond Guidelines
• tagged sustainability bonds on Bloomberg
25 • displayed on the Luxembourg Green & Sustainable Exchange
 IBRD USE OF PROCEEDS
Supporting Sustainable Development
in IBRD Member Countries

World Bank Sustainable Development Bonds support the financing of a 5 Global Themes
combination of green and social, i.e., “sustainable development”, projects,
Climate Change
programs, and activities in IBRD member countries.
Each project is designed intentionally to achieve both positive social and Fragility, Conflict
environmental impacts and outcomes in line with the World Bank Group’s twin & Violence
goals of eliminating extreme poverty and promoting shared prosperity.
Gender
The World Bank’s Sustainable Development Bond Framework describes the
process for selecting, evaluating and reporting on eligible Sustainable
Development Projects and contains descriptions and examples of such eligible Infrastructure, PPPs
& Guarantee
projects.
Target Populations: World Bank projects aim to protect and empower vulnerable Knowledge
groups, including women and girls, the poor, disabled people, and youth to reduce Management
poverty, improve living standards, and raise income and productivity.
26
 GLOBAL BONDS
The World Bank offers global bonds in a variety of currencies and maturities through strategic offerings
designed to meet investor demand.

 Global Bonds provide:

─ Investors with liquidity and strong dealer commitment to secondary market support
─ Diversification among triple-A holdings and benefit from a rarity value in the marketplace

 Characteristics:
─ Issue size is typically US$1-4 billion, or benchmark size for each market; largest benchmark was US$8 billion
─ Maturities generally range between 2-10 years
─ Denominated in a variety of currencies, incl. USD, EUR, GBP, CAD, AUD, NZD

 World Bank bonds are represented in major indices

 Pricing and other bond details: Bloomberg: IBRD <Govt> <Go> or IBRD <Go>

27
 GLOBAL BOND EXAMPLE
AUD 2 Billion 5-year Sustainable Development Bond
On January 3, 2024, the World Bank (IBRD) priced its first benchmark of 2024 – an Australian dollar 2 billion 5-year bond due January
10, 2029. The transaction attracted over 50 orders totaling more than AUD 2.4 billion from investors drawn to IBRD’s high credit quality
while supporting the World Bank’s mission.

Distribution by Geography Distribution by Investor Type AUD 2 billion 5-year bond

Asia Summary Terms and Conditions
56% Central Banks / Official
Institutions Issuer Rating: Aaa/AAA
37%
Maturity: 5-year

Asset Total Amount: AUD 2 billion

Managers/Insurance Settlement
/Pension Funds 01/10/2024
Date:
25%
Australia Maturity Date: 01/10/2029
22%
Europe/ Middle Coupon: 4.30% p.a. payable semi-annually
East/ Africa
22% Banks/Bank Joint Lead Deutsche Bank, JP Morgan, Nomura International
Treasuries/Corporates managers: plc, RBC Capital Markets
38%

Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any
particular projects or programs, and returns on the bonds described herein are not linked to the performance of any
particular project or program."
28
 GLOBAL BOND EXAMPLE
USD 5 billion 7-year Sustainable Development Bond
On January 3, 2024, the World Bank (IBRD) priced a 7-year benchmark bond that matures in January 2031. The Sustainable
Development Bond raised USD 5 billion from investors seeking to support the World Bank’s work to end extreme poverty and boost
prosperity on a livable planet.
USD 5 billion 7-year Bond
Distribution by Geography Distribution by Investor Type
Summary Terms and Conditions
Central Banks /
Issuer Rating: Aaa/AAA
Americas Official Institutions
26% 35% Maturity: 5-year
Asia
18% Total Amount: USD 5 billion
Settlement
01/10/2024
Date:
Asset Maturity Date: 01/10/2031
Managers/Insurance
Europe/ Middle Banks/Bank /Pension Funds Coupon: 4.00%, payable semi-annually
East/ Africa Treasuries/Corporates 16%
56% Barclays Bank PLC, BMO Capital Markets, BNP
49% Leads:
Paribas, Citigroup Global Markets
CastleOak Securities, L.P., Daiwa Capital
Senior co-lead Markets Europe Limited, National Bank of
managers: Canada Financial Inc. and The Bank of Nova
Scotia, London Branch
Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any
particular projects or programs, and returns on the bonds described herein are not linked to the performance of any USD 5 billion 7-year Sustainable Development Bond
particular project or program."
29
 GLOBAL BOND EXAMPLE
CAD 1.4 Billion 5-year Sustainable Development Bond
On January 3, 2024, the World Bank (IBRD) priced a new 5-year CAD 1.4 billion benchmark that matures in January 2029.

Distribution by Geography Distribution by Investor Type CAD 1 billion 5-year bond

Summary Terms and Conditions
Americas Central Banks / Official
48% Asia Institutions Issuer Rating: Aaa/AAA
34% 55%
Maturity: 5-year
Total Amount: CAD 1.4 billion
Settlement
Asset 01/12/2024
Date:
Managers/Insurance
/Pension Funds Maturity Date: 01/12/2029
11%
Europe/ Middle Coupon: 3.50% per annum
East/ Africa
18% Banks/Bank Joint Lead CIBC, RBC Capital Markets, National Bank
Treasuries/Corporates managers: Financial Inc., TD Securities
34%

Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any
particular projects or programs, and returns on the bonds described herein are not linked to the performance of any
particular project or program."
30
 GLOBAL BOND EXAMPLE
GBP 1.5 billion 5-year Sustainable Development Bond
On January 4, 2024, the World Bank (IBRD) priced a 5-year British pound sterling (GBP) benchmark bond due October 2028. The
Sustainable Development Bond raised an impressive size of GBP 1.5 billion from investors to support the financing of the World
Bank’s work to fund sustainable development solutions in its member countries.

Distribution by Geography Distribution by Investor Type GBP 1.5 billion 5-year Bond

Europe/Middle Americas
Summary Terms and Conditions
East 3% Central Banks / Official
6% Institutions Issuer Rating: Aaa/AAA
53%
Maturity: 5-year
Total Amount: GBP 1.5 billion
Asia Asset Managers Settlement
32% 01/11/2024
/ Pension / Date:
Insurance
United 22% Maturity Date: 10/02/2028
Kingdom Coupon: 3.875% p.a.
59%
Bank Treasuries / Citigroup, NatWest Markets, Santander and TD
Leads:
Banks / Securities
Corporates
GBP 1.5 billion 5-year Global Benchmark Bond
25%

Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any
particular projects or programs, and returns on the bonds described herein are not linked to the performance of any
particular project or program."
31
 GLOBAL BOND EXAMPLE
EUR 3 billion 10-year Sustainable Development Bond
On February 6, 2024, the World Bank (IBRD) priced a EUR 3 billion 10-year Sustainable Development Bond. This transaction attracted
over 100 orders totaling Euro 4.7 billion from European and global investors seeking high credit quality and an investment that
supports sustainable development at the longer end of the EUR curve.

Distribution by Geography Distribution by Investor Type EUR 3 billion 10-year Bond

Germany Summary Terms and Conditions

16% Central Banks
Other / Official Issuer Rating: Aaa/AAA
13% Institutions
17% Maturity: 10-year
Total Amount: EUR 3 billion
Settlement
France 02/14/2024
Date:
24% Asset
Managers/Insurance/ Maturity Date: 02/14/2034
Rest of Europe Pension Funds
Coupon: 2.900% p.a., payable annually
47% 25%
Banks/Bank
Treasuries/Corporates BNP Paribas, NatWest Markets, Nomura, TD
Leads:
58% Securities
EUR 3 billion 10-year Sustainable Development Bond

Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any
particular projects or programs, and returns on the bonds described herein are not linked to the performance of any
particular project or program."
32
 GLOBAL BOND EXAMPLE
SOFR-Linked Floating Rate Bond
On February 15, 2024, the World Bank (IBRD) priced a USD 1.25 billion Sustainable Development Bond linked to the Secured
Overnight Financing Rate (SOFR). The transaction attracted over 30 orders totaling USD 1.4 billion from a diverse set of investors
seeking a high credit quality investment while supporting sustainable development.

Distribution by Geography Distribution by Investor Type USD 1.25 billion 3-year Bond
Summary Terms and Conditions
Americas
Central Banks / Official Issuer Rating: Aaa/AAA
50%
Institutions
35% Maturity: 3-year
Total Amount: USD 1.25 billion
Asia Settlement
02/23/2024
18% Date:
Asset Managers / Maturity Date: 02/23/2027
Europe/Middle Pension /
Bank Treasuries / Insurance Coupon: Compounded Daily SOFR + 28 basis points
East/Africa
32% Banks / Corporates 16% Wells Fargo Securities, BMO Capital Markets,
49% Leads:
Scotiabank
USD 1.25 billion SOFR-Linked Floating Rate Bond

Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any
particular projects or programs, and returns on the bonds described herein are not linked to the performance of any
particular project or program."
33
 DISCOUNT NOTES
 The World Bank offers flexible and customized short-term debt
instruments through its USD Discount Notes Program using
simple documentation (Offering Circular).
 Discount Notes are offered in the United States and Eurodollar
markets.
 Rates for World Bank Discount Notes are posted on
Bloomberg's “ADN” page under the World Bank option
(“WBDN”).
 Discount Notes characteristics:
• maturities of 397 days (13 months ) or less
• aggregate face amounts of US$50,000 and higher per maturity
date

34
 BUYBACK PROGRAM
 The World Bank buys back its own bonds through dealers
on a reverse enquiry basis
 Program is designed to offer backstop liquidity to investors
and covers vanilla and structured IBRD notes, as well as
benchmarks
 Repurchased notes are retired from the market
 The program has been operational 20+ years, including the
2008-2009 financial crisis and the 2020 COVID-19 crisis
with average volumes of roughly US$1 billion annually
 Confidential execution as requested
 Execution remains at the discretion of IBRD
© World Bank

World Bank Headquarters, Washington, DC

35
 CATASTROPHE BOND EXAMPLE
Provides Insurance to Chile for Earthquake Events
On March 17, 2023, the World Bank (IBRD) issued a joint catastrophe bond and swap transaction that
provides a total of USD 630 million of earthquake insurance to the Government of Chile for three years,
consisting of USD 350 million of catastrophe bonds and USD 280 USD 350 million 3-year Cat Bond
million of catastrophe swaps. The bond is IBRD’s 19th cat bond and Summary Terms and Conditions
the first listed on the Hong Kong Exchange (HKEX).
Issuer Rating: Aaa/AAA
Distribution by Geography Distribution by Investor Type Maturity: 3-year

Bermuda Asia Insurer / Total Amount: USD 350 million

Asset
4% 2% Europe Management Reinsurer
Settlement Date: 03/24/2023
54% 15% 3%
Maturity Date: 03/31/2026
Pension Compounded SOFR +
Fund Bond Coupon: Funding Margin + Risk
North 6% Margin
America
40% Risk Margin: +4.75% p.a.

Funding Margin: +0.04% p.a.

Covered Perils: Earthquake

ILS Fund Parametric, per
Trigger: occurrence
76%
Aon Securities,
GC Securities and
Net proceeds of the bonds described herein are not committed or earmarked for lending to, or Leads:
Swiss Re Capital
financing of, any particular projects or programs, and returns on the bonds described herein
are not linked to the performance of any particular project or program." Markets
Chile Cat Bond Press Release
36
Chile Cat Bond listed on the HKEX Press Release
 OUTCOME BOND EXAMPLE
Wildlife Conservation Bond to Protect Black Rhinos
and Support Local Communities in South Africa
On March 31, 2022, the World Bank (IBRD) issued the first Wildlife Conservation Bond, a principal protected
outcome bond, that channels additional private capital for conservation outcomes.

• Investors foregone regular coupons fund USD 150 million 5-year Bond
conservation investment in two parks in Summary Terms and Conditions
South Africa, while also providing
environmental and social benefits to local Rating: AAAp
communities. Maturity: 5-year

• In addition to return of principal and a Total Amount: USD 150 million

small guaranteed return, investors Settlement Date: 03/31/2022
potentially receive a conservation
Maturity Date: 03/31/2027
success payment at maturity (funded by
the Global Environment Facility) based on Issue Price: 94.84%
rhino population growth rates. Conservation Issuer will make payments totaling ZAR 152
Investment million to the Park Managers to finance rhino
• Nuveen was the lead investor in the Payment: conservation activities.
transaction which included other Paid to investors at maturity based on rhino
Conservation
institutional investors and individual growth rates in two Parks.
Success Payment: Maximum payment is US$13.76 million
investors from both Credit Suisse and
Citi private banking. Sole Structurer: Credit Suisse

WCB Press Release Bookrunners: Credit Suisse and Citibank, NA

Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any particular projects
37 or programs, and returns on the bonds described herein are not linked to the performance of any particular project or program.
 OUTCOME BOND EXAMPLE
Helping Communities Remove and Recycle Plastic Waste
On January 24, 2024, the World Bank (IBRD) issued a Plastic Waste Reduction-Linked Bond, a principal
protected outcome bond, that channels private capital to a project with positive climate and development impacts.
• Investors forego regular coupon payments to provide USD 100 million 7-year Bond
up-front financing for projects that aim to reduce
and recycle plastic waste in vulnerable Summary Terms and Conditions
communities in Ghana and Indonesia. Rating: AAAp
• Projects help to reduce plastic pollution, create Maturity: 7-year
improvements in local pollution and air quality, reduce Total Amount: USD 100 million
associated health impacts, and create jobs in
Settlement
marginalized communities. 01/31/2024
Date:
• In addition to return of principal and a small Maturity Date: 01/31/2031
guaranteed return, investors receive variable coupons Issue Price: 100%
linked to Plastic Waste Collection Credits, Plastic
Plastic & VCU- Linked to the number of Plastic Credits
Waste Recycling Credits and Voluntary Carbon and Verified Carbon Units (VCUs)
Linked Interest issued from the projects, each subject
Units expected to be generated by two projects. Payment: to a cumulative ceiling
• Investors include: Velliv Pension, Skandia, Mackenzie Minimum
1.75% per Specified Denomination
Investments, T. Rowe Price, Muzinich & Co coupon:

Plastic Waste Reduction Bond Press Release Lead Manager: Citibank

Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any particular World Bank projects or programs. Payments
38 on the bonds are not funded by any particular World Bank project or program.
 © Dirk Daniel Mann/iStock

HOW IS THE WORLD BANK

ENGAGING WITH INVESTORS
ON THE SDGs?
 BUILDING SUSTAINABLE
CAPITAL MARKETS
The World Bank’s first green bond
catalyzed the green bond
market and spearheaded
A global development institution focused on the
disclosure and impact
reporting standards for green
reduction of poverty reduction and inequality.
and other sustainable assets.

A revolution sparked by green bonds has the potential

to drive more data-driven sustainable/ impact investing. Issuer of sustainable development bonds and
The green bond model for project selection, second green bonds.
party opinion, and impact reporting has expanded to
World Bank Sustainable Development Bonds.

Sustainable Development Bonds Engagement with investors and others on

Today, most World Bank bonds are sustainable and impact investments.
labeled as Sustainable Development
Bonds.
Partnering with others to:
The Sustainable Development Bond
label highlights how proceeds support • leverage our issuance and development experience
the financing of projects with both green • increase awareness for thematic investment and
and social goals and emphasizes the
holistic approach that the World Bank sustainable capital flows
takes to mainstream climate action in
all operations.
• support transparency and data availability as a global
public good.
40
 PIONEERING THE
GREEN BOND MARKET
 The World Bank’s first green bond catalyzed the green bond market and spearheaded
disclosure and impact reporting standards for green and other sustainable assets.
 Green bonds carry the same financial terms and risk as other World Bank bonds.
 The World Bank is advising member countries on green finance and green bond
issuance, e.g., through a guide for a national taxonomy.
© World Bank

4,800,000 tons 6,000,000 tons 774,600 hectares 51,462 GWh

of untreated wastewater of C02 emissions reduced of forest restored or in annual
prevented from flowing into rivers due to reforestation reforested energy savings
annually in China in Mexico in China & Mexico

Examples of projects herein are for illustrative purposes only and no assurance can be provided that disbursements for projects with these specific characteristics will be made by IBRD
anytime in the future. Net proceeds of IBRD securities are not committed or earmarked for lending to, or financing of, any particular projects or programs, and returns on IBRD securities
41 are not linked to the performance of any particular project or program
 MEETING INVESTOR DEMAND
For Sustainable Investment Products

 All World Bank bonds aim to achieve positive social and SUSTAINABLE
environmental impact in line with the SDGs. DEVELOPMENT
 Investors are factoring environmental and social risks and
sustainability considerations into decision-making.
 World Bank bonds are natural fit for investors seeking
positive impact.
 World Bank Treasury is cultivating a long-term partnership
with the private sector driving growth in green and
sustainability bonds and innovation to mobilize financing for
sustainable development.
 Investors are focusing investments on special themes and
the SDGs like climate action, gender equality, good health and
well-being, equitable social services, and sustainable transport.

42
 SUSTAINABLE DEVELOPMENT BONDS
IBRD issues two types of labeled bonds

World Bank World Bank

Sustainable Green Bonds
Development aligned with
Bonds Green Bond
aligned with Principles
Sustainability published by
Bond Guidelines ICMA
published by
ICMA

43
 GREEN BONDS
FY22 GREEN BOND PROJECT RESULTS

Read the 2022 World Bank (IBRD) Impact Report

44
 SUSTAINABLE DEVELOPMENT BONDS
Holistic Approach Uses SDGs as a Framework

680 projects
supported

$33.1 billion in
lending
committed
Read the 2022 World Bank
(IBRD) Impact Report

45
 WORLD BANK SUMMARY
 The World Bank’s purpose is to end extreme poverty and
promote shared prosperity.
 World Bank bonds fund sustainable development activities.
 AAA/Aaa rating is based on its strong balance sheet and
capital, conservative financial policies and risk management,
and support from 189 member countries.
 Wide range of products ranging from benchmark bonds to
tailor-made notes designed to suit specific investor needs.
 All bonds are labeled as ‘sustainability’ or ‘green’ bonds
designed to achieve positive impact.
 Outcome based structured bonds allow investors to take on
other risks for additional impact.

46
 © World Bank

ANNEX: PROJECT STORIES

Disclaimer: Examples of projects herein are for illustrative purposes only and no assurance can be provided that disbursements
for projects with these specific characteristics will be made by IBRD anytime in the future. Net proceeds of IBRD securities are
not committed or earmarked for lending to, or financing of, any particular projects or programs, and returns on IBRD securities
are not linked to the performance of any particular project or program.
 COLOMBIA
Access and Quality in Higher Education

Development Challenge: The participation of young people from socioeconomically

disadvantaged backgrounds in tertiary education in Colombia is very low. In 2014,
only 10% of young people in the poorest quintile enrolled in a higher education
program, compared to 59% of the richest quintile. That same year, only 13% of the
rural population enrolled in a tertiary education program, as compared to 60% in the
main cities. Half of the students who enter tertiary education drop out before finishing
their studies.
Purpose: Improve the quality of tertiary education in participating institutions and
increase enrollment of students from disadvantaged socioeconomic backgrounds in
quality programs. The project provides financing for students to attend tertiary and
postgraduate education through student loans and scholarships. The project also
provides financing for institutions to carry out quality improvements to obtain
accreditation through competitive research grants and loans.
Expected Results (include):
• 1,222,876 students from disadvantaged backgrounds enrolled in tertiary education
• 46,080 students from low socioeconomic groups who obtain a loan
• 322,000 students benefiting from direct interventions to enhance learning
© World Bank
• 6.2% of new student loans given to victims of violence; 7.5% to indigenous, afro-
Colombians, and Roma people; 7% of loans to new students in 'remote areas’
For more information:
https://projects.worldbank.org/en/projects-operations/project-
detail/P160446 IBRD Financing: $160 million
48
Closing: 2023
 EGYPT
Greater Cairo Air Pollution Management and
Climate Change Project
Development Challenge: Despite significant improvements in air quality in recent
years, Greater Cairo’s air pollution levels far exceed international standards. Pollution
management is key to providing safe living conditions for communities while reducing
the health burden, fiscal strain, and economic costs from environmental degradation.
Air pollution and adverse climate impacts threaten the longevity of Egypt’s draw for
tourism (a sector that contributes about 12% to GDP) by degrading Egypt’s rich
cultural heritage and creating conditions that discourage tourists from visiting
altogether.
Purpose: Reduce air and climate emissions from critical sectors and increase
resilience to air pollution in Greater Cairo. In response to COVID-19, the project is
working to improve healthcare waste management systems and introduce prevention
measures in municipal waste operations. This will focus on under-served hospitals to
provide waste sterilization equipment and personal protective gear, alongside the
provision of technical assistance and training on the safe handling, transportation and
disposal of healthcare waste.
Expected Results (include):
• Increase the number of women employed in the solid waste chain by 10%,
© World Bank following training and capacity building
• Reduce GHG emissions from public buses by 23%
For more information: • Reduce GHG emissions from municipal solid waste by 30%
https://projects.worldbank.org/en/projects-operations/project-
detail/P172548 IBRD Financing: $200 million
49 Closing: 2026
 GABON
COVID-19 Strategic Preparedness and
Response
Development Challenge: Although Gabon has two laboratories capable of
diagnosing COVID-19, samples must be transported either by air, facing logistical
constraints, or by road, which is far from the capital. These two centers do not have
enough capacity to provide the laboratory testing Gabon needs during the COVID-19
pandemic and financial support is needed for laboratory equipment and acquisition of
kits and laboratory reagents.
Purpose: Prevent, detect, and respond to the threat posed by COVID-19 and
strengthen national systems for public health preparedness in Gabon. The project
received additional financing to support the country’s National Vaccination and
Deployment Plan, to enable affordable and equitable access to COVID-19 vaccines,
providing 945,255 doses.
Expected Results (include):
• 23 laboratories provided with COVID-19 diagnostic equipment, test kits, and
reagents
• Increase the percentage of health staff equipped with appropriate PPE for
infection prevention and control to 80%
© World Bank • Provide 26 ambulances to transport COVID-19 patients
• 60% of population vaccinated, of which 50% are women
• Distribute gender sensitive educational communication materials on COVID-19
For more information:
https://projects.worldbank.org/en/projects-operations/project-
vaccines
detail/P173927 IBRD Financing: $21 million
50 Closing: 2024
 GUATEMALA
Crecer Sano: Guatemala Nutrition and Health
Project
Development Challenge: Guatemala faces a crisis as a result of the spread of COVID-
19, both in terms of public health and the economy. COVID-19 has worsened the
country’s economic situation, leading to a rise in malnutrition along with food shortages
and an increase in food prices. Approximately 47% of Guatemalan children suffer from
stunting – one of the highest rates in the world. The capacity of the country’s health
infrastructure to respond to the crisis is limited due to high demand and insufficient human
resources, equipment, and financing.
Purpose: Improve selected practices, services, and behaviors known to be key
determinants of chronic malnutrition (with an emphasis on the first 1,000 days of life) and
respond to the threat posed by COVID-19, in selected intervention areas. In response to
the COVID-19 pandemic, the project was restructured to reallocate $20 million of original
project financing to increase capacity for COVID-19 testing and expand temporary and
mobile medical pavilions to cope with the increasing demand for health services.
Expected Results (include):
• 680,000 people reached with essential health, nutrition, and population services
including:
─ 400,000 children under 5 years old receiving immunizations
© World Bank ─ 280,000 women and children under 5 years old receiving basic nutrition services
• Train 5,000 health staff in COVID-19 infection prevention and control
For more information: • Build and equip 2 temporary hospitals for COVID-19 treatment
http://projects.worldbank.org/P159213?lang=en
IBRD Financing: $100 million
51 Closing: 2024
 INDIA
Innovate for Inclusiveness

Development Challenge: While India is recognized as a leading global manufacturer

of high-quality generic drugs, industry gaps and market failures constrain its
innovation capabilities, limiting its competitiveness and ability to address its disease
burden. Diseases that disproportionately affect low- and middle-income countries are
largely ignored as companies tend to allocate resources to high-profit markets,
leading to a growing concern of getting affordable healthcare in India.
Purpose: Facilitate innovation in biopharmaceutical products and medical devices
that address public health priorities. Strengthen and accelerate the pilot-to-market
innovation ecosystem for low-cost vaccines, biopharmaceuticals, diagnostics, and
medical devices funding for the government of India’s Biotechnology Industry
Research Assistance Program (BIRAC). The project will provide grant funding to
companies, research and academic institutions, and practitioners to support early-
stage bio-manufacturing, clinical development, training, and technology transfer.
Expected Results (include):
• 50 products addressing public health priorities advance at least one step on the
product development pathway
© World Bank
• 23 technologies licensed for manufacturing or commercialization
• 14 international publications
For more information: • 6,295 people trained
https://projects.worldbank.org/en/projects-operations/project- IBRD Financing: $125 million
detail/P156241?lang=en
Closing: 2023
52
 LEBANON
Greater Beirut Urban Transport Project

Development Challenge: Lebanon has one of the highest population densities in the
world. About 87% of the resident population lives in urban areas, with more than half
in the Greater Beirut Area. The economic cost of traffic congestion in Lebanon is
estimated above US$2 billion, between 5% and 10% of national GDP. A growing
population, including an increase in Syrian refugees, has increased traffic levels by as
much as 25%.
Purpose: Improve the speed, quality, and accessibility of public transport for
passengers in Greater Beirut and at the city of Beirut’s northern entrance. The project
will provide needed infrastructure to reduce the traffic burden, create jobs, and
stimulate the economy while increasing mobility and ensuring security for vulnerable
groups including the poor, women, and youth.
Expected Results (include):
• Create 2 million labor days in construction jobs for low-income Lebanese and
Syrians
• Attract more than 300,000 passengers per day while halving commute times
between Beirut and the northern suburbs
© World Bank • Reduce traffic congestion
• 60,0000 tons of CO2 equivalent reduced annually
For more information: IBRD Financing: $225.2 million
https://projects.worldbank.org/en/projects-operations/project-
detail/P160224?lang=en Closing: 2023
53
 SERBIA
Enabling Digital Governance Project

Development Challenge: The Serbian government wanted to digitalize services to

quickly respond to the COVID-19 crisis and prepare for the second wave of the
pandemic. While Serbia has placed a strong emphasis on e-government services,
efforts have been uncoordinated and only partially funded. Many registries and
information data bases are fragmented, imposing an additional burden in terms of
time and costs to citizens and businesses when engaging with the government.
Purpose: Improve access to and efficiency of online government services. Two
activities have been introduced in response to the COVID-19 pandemic: (1) a
business continuity assessment for government institutions to help guide the transition
to providing digital services, and (2) the development of software solutions to enable
mobile access to government services.
Expected Results (include):
• Increase the number of government services digitized and available online to 30,
from a baseline of 4
• Provide 2,000,000 people with access to online services
• Increase user satisfaction with online services by 50%
© World Bank
IBRD Financing: $50 million
Closing: 2024
For more information:
https://projects.worldbank.org/en/projects-operations/project-
detail/P164824
54
 TURKEY
Energy Efficiency in Public Buildings

Development Challenge: Energy efficiency is critical for Turkey to sustain its

economic growth while meeting its commitments for climate change and
environmental sustainability. As energy use per capita in Turkey rises, its energy
intensity is expected to grow. This high intensity negatively impacts energy security as
Turkey’s energy imports account for almost 19% of the country’s total imports. It also
has a negative impact on the environment, with the energy sector accounting for
72.2% of the country’s greenhouse gas (GHG) emissions.
Purpose: Reduce energy use in central government buildings and inform the
development of sustainable financing mechanisms to support a scaled-up, national
program for energy efficiency in public buildings. The project supports the renovation
of central government and central-government affiliated buildings (i.e., public buildings
including schools and hospitals); and strengthens technical assistance to support
project implementation to ensure its sustainability and scale-up.
Expected Results (include):
• 315 GWh of annual energy savings
• 225,000 tons of CO2 equivalent reduced annually
© World Bank • 620 buildings commissioned
• US$18,000,000 of energy costs savings annually
For more information: IBRD Financing: $150 million
https://projects.worldbank.org/en/projects-operations/project-
detail/P162762 Closing: 2025
55
 CONTACT US
Internet: https://treasury.worldbank.org/
Phone: +1 202 477 2880
Fax: +1 202 477 8355
Email: debtsecurities@worldbank.org
Address: 1818 H Street N.W. MSN C7-710
Washington, DC 20433, USA

Pricing Sources
Bloomberg IBRD <Govt> <Go> or IBRD <Go>
Discount Notes WBDN <Go>

56
 THE WORLD BANK IBRD
Acknowledgements and Disclaimers

© World Bank

• Photos, graphics and content © The World Bank and as noted. Cover photo credits (from left to right): © Eefje Verbeek/iStock, © World Bank, © pespiero/iStock.
• This presentation has been prepared by the World Bank (International Bank for Reconstruction and Development, IBRD) for information purposes only, and the IBRD makes no representation,
warranty or assurance of any kind, express or implied, as to the accuracy or completeness of any of the information contained herein.
• No Offer or Solicitation Regarding Securities. This presentation may include information relating to certain IBRD securities. Any such information is provided only for general informational purposes and
does not constitute an offer to sell or a solicitation of an offer to buy any IBRD securities. All information relating to securities should be read in conjunction with the appropriate prospectus and any
applicable supplement and Final Terms thereto, including the description of the risks with respect to an investment in such securities, which may be substantial and include the loss of principal. The
securities mentioned herein may not be eligible for sale in certain jurisdictions or to certain persons.
• Consult with Advisors. Investors considering purchasing an IBRD security should consult their own financial and legal advisors for information about such security, the risks and investment
considerations arising from an investment in such security, the appropriate tools to analyze such investment, and the suitability of such investment to each investor's particular circumstances.
• No Guarantee as to Financial Results. IBRD does not warrant, guarantee or make any representation or warranties whatsoever, express or implied, or assumes any liability to investors regarding the
financial results of the IBRD securities described herein.
• Each recipient of this presentation is deemed to acknowledge that this presentation is a proprietary document of IBRD and by receipt hereof agrees to treat it as confidential and not disclose it, or
permit disclosure of it, to third parties without the prior written consent of the IBRD. All content (including, without limitation, the graphics, icons, and overall appearance of the presentation and its
content) are the property of the IBRD. The IBRD does not waive any of its proprietary rights therein including, but not limited to, copyrights, trademarks and other intellectual property rights.
• This presentation includes forward-looking statements. These forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements, which are other than statements of historical facts. The words "believe," "expect," "anticipate," "intends," "estimate," "forecast," "project," "will," "may,"
"should" and similar expressions identify forward-looking statements. The forward-looking statements in this presentation are based upon various assumptions, many of which are based, in turn, upon
further assumptions, including, without limitation, management's examination of historical operating trends, data contained in IBRD’s records and other data available from third parties. Although IBRD
believes that these assumptions were reasonable when made, these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are
beyond its control, and IBRD may not achieve or accomplish these expectations, beliefs or projections. Neither IBRD, nor any of its members, directors, officers, agents, employees or advisers intend
or have any duty or obligation to supplement, amend, update or revise any of the forward-looking statements contained in this presentation.

57