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World Bank GBP 300 Million 5-year Floating Rate Global Bond

Washington, DC, January 11, 2011 – The World Bank (International Bank for Reconstruction and Development, IBRD, Aaa/AAA) priced today a GBP 300 million global floating rate note. This global bond was joint-lead managed by HSBC and RBC Capital Markets. This is the first floating rate note issue denominated in GBP, issued by the World Bank.

The bond carries a quarterly coupon and will mature on January 19, 2016. It was priced with a spread of 5 basis points over 3-month GBP Libor.

Investors were attracted by the high quality credit of the World Bank, its rarity value, and the benefit of the issue being a repo-eligible security with the Bank of England. The order book grew to over GBP 300 million with high-quality orders from just under 20 investors.

Investor Distribution:

By Geography
 
By Investor Type
UK
45%
 
Central Banks/Official Institutions
9%
Europe (Other)
36%
 
Banks/Corporates
76%
Asia
19%
 
Fund Managers
15%

With this new issue and the recent GBP 300 million tap to the World Bank’s 1.25% GBP bonds due December 10, 2013, the World Bank responded to specific investor demand and continued positive market conditions in the Sterling Market for high quality GBP-denominated assets.

This issuance is consistent with the World Bank’s longstanding practice of deploying its franchise as an issuer in the international capital markets to offer high-quality liquid instruments to investors globally. This approach has direct benefits for World Bank member countries as well, since this cooperative institution is able to fund its activities as a provider of financial services for its members on highly attractive terms.

Transaction Summary:

Issuer: World Bank (International Bank for Reconstruction and Development, IBRD)

Issuer rating: Aaa/AAA

Amount: GBP 300 million
Settlement date: January 19, 2011
Maturity date: January 19, 2016

Coupon: 3-month GBP Libor + 5 basis points (quarterly, act/365)
Re-offer price: 100%
Listing: Luxembourg Stock Exchange
Clearing systems: Euroclear / Clearstream
Lead managers: HSBC Bank plc, RBC Capital Markets

About the World Bank
The World Bank (International Bank for Reconstruction and Development, IBRD), rated Aaa/AAA (Moody’s/S&P), is an international organization created in 1944. It operates as a global development cooperative owned by 187 nations. It provides its members with financing, expertise and coordination services so they can achieve equitable and sustainable economic growth in their national economies and find effective solutions to pressing regional and global economic and environmental problems. The overriding goal is to achieve major, sustainable improvements in standards of living worldwide. It has been issuing bonds in the international capital markets for over 60 years to fund its activities. Information for investors is available on the World Bank Treasury website: (www.worldbank.org/debtsecurities).

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