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USD 1 Billion 10-year World Bank Global Bond

Washington, DC, March 22, 2006 - The World Bank today launched a USD 1 billion 10-year global bond issue, its first at this maturity since 2003.

"We are very pleased with this transaction. The response that we received from investors has been strong and diverse, including major participation from central banks and other official institutions." said Doris Herrera-Pol, Head of Capital Markets Operations, World Bank Treasury.

This transaction was joint lead-managed by Goldman Sachs and Morgan Stanley. Co-Lead Managers were: ABN Amro, Citigroup, Deutsche Bank, Nomura, and UBS.

The bonds were placed 60% with Asian investors, 20% with European investors, and 20% with North American investors. The distribution by investor type was: 60% central Banks and official Institutions, 20% fund managers and insurance companies, and 20% banks and corporations.

The bonds were issued at a price of 99.852% and pay a coupon of 5.00% per annum, through semi-annual payments. This gives investors a yield of 5.019% (s.a.), equivalent to a spread of 32 basis points above the underlying US Treasury bond. Details follow:

Amount: USD 1 billion
Settlement date: April 3, 2006
Coupon: 5.00 % per annum, payable semi-annually
Maturity Date: April 1, 2016
Issue price: 99.852%
Spread: 32 basis points over the underlying US Treasury (UST 4.50% February 2016)
Interest payment dates: April 1, October 1
Listing: Luxembourg

Form of notes:

Clearing systems:

Registered, Fed Bookentry notes

Fedwire, Euroclear or Clearstream

    Reprinted with permission of the artist

Olly Copplestone


The World Bank's bond products and investor presentation can be accessed through the website of the World Bank for bond investors (www.worldbank.org/debtsecurities). For a list of selected bonds issued recently by the World Bank, see: http://treasury.worldbank.org/recentissues.

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