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IBRD and IDA Guarantee Pricing

 


 

As of July 1, 2015

Fee Type
IBRD (1)
IDA
Private Projects
Public Projects (Project or Policy Based)
Private Projects
Public Projects (Project or Policy Based)
Upfront Charges (one-time fees)
Front-End
25 bps of guarantee amount
N/A
Initiation

Greater of 15 bps of  guarantee amount or USD 100,000

N/A

Greater of 15 bps of  guarantee amount or USD 100,000

N/A

Processing (2)

Up to 50 bps of guarantee amount
N/A
Up to 50 bps of guarantee amount
N/A
Recurring Charges
Standby (3)
25 bps
0 bps
Guarantee (4)
50-100 bps (5)
75 bps

1. Include IBRD Enclave Guarantees for IDA countries.
2. Determined on a case by case basis. On exceptional cases, projects can be charged over 50 bps of the guarantee amount.
3. Equivalent to the commitment charge on IBRD loans and IDA Credits, respectively.
4. The guarantee fee is charged on Bank’s financial exposure under the guarantee, i.e. the present value of the guarantee (which is typically equal to outstanding guarantee amount during a callable period). Guarantee maturity calculations are determined based on the type and structure of a guarantee. For IBRD guarantees, the guarantee fee includes an annual maturity premium as follows:

a) 0 bps for below 8 years of average maturity;
b) 10 bps for 8−10 years of average maturity;
c) 20 bps for 10−12 years of average maturities;
d) 30 bps for 12−15 years of average maturity;
e) 40 bps for 15−18 years of average maturity; and
f) 50 bps for 18−20 years of average maturities.

5. In certain cases, IBRD enclave guarantees for IDA countries may have higher pricing than the above IBRD prices.

For additional information, please contact us at FAB@worldbank.org.