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World Bank Announces Ten New Green Bonds Denominated in Ten Different Currencies

Washington, February 23, 2010 – The World Bank (International Bank for Reconstruction and Development, rated Aaa/AAA) announces the final terms for ten new green bonds that are being issued primarily for the launch of new World Bank green bond funds managed by Nikko Asset Management (Nikko AM), aimed at investors primarily in Japan and Europe. World Bank green bonds are an opportunity to invest in climate solutions through a triple-A security that supports World Bank-financed climate change mitigation and adaptation projects.

The notes are denominated in Australian dollars (AUD), Brazilian reais (BRL), Colombian peso (COP), Hungarian forint (HUF), Mexican peso (MXN), Norwegian krone (NOK), New Zealand dollar (NZD), Russian ruble (RUB), Turkish lira (TRY), and South African rand (ZAR). The total USD equivalent amount for the bonds is approximately USD355 million. SEB is acting as sole lead manager on HUF and NOK, JP Morgan is acting as sole lead manager on BRL, COP, RUB and TRY and RBCCM is acting as sole lead manager on NZD; TD Securities is acting as sole lead manager on AUD, MXN and ZAR.

The newly created green bond funds are: the “SMBC Nikko World Bank Green Fund”, a new open-ended investment trust for Japanese investors launched by Nikko Asset Management Co., Ltd. with Sumitomo Mitsui Banking Corporation and Nikko Cordial Securities Inc. as the first distributors of the fund, and the “Nikko AM World Bank Green Fund” launched by Nikko AM Europe for European and Middle Eastern investors. Both funds will be managed by portfolio managers of Nikko Asset Management Europe, domiciled in London.

These funds mark the second time that Nikko AM has worked together with the World Bank to create open-ended investment trusts, following on from the highly successful World Supporter Fund in Japan. The World Supporter Fund was established in 2007 and is composed primarily of World Bank bonds denominated in various emerging market currencies.

Summary of Terms

Amount (millions)
Settlement Date
Maturity Date
Issue Price
Redemption Amount
Coupon
Denomination
Lead Manager
1AUD 150
3/5/10
2/1517
100.575
100%
6%

AUD 1,000

TD
2BRL 40
3/2/10
3/2/17
102
100%
9.5%
BRL 5,000
JPM
3COP 25,000
3/2/10
3/2/20
102
100%
8%
COP 10,000
JPM
4HUF 1,500
3/2/10
5/19/17
99.56
100%
5.5%
HUF 1,000
SEB
5MXN 200
3/5/10
3/5/20
100.450
100%
7.5%
MXN 1,000
TD
NOK 400
3/2/10
5/19/17
99.60
100%
3.75%
NOK 50,000
SEB
NZD 50
3/3/10
3/3/17
100.895
100%
5.625%
NZD 1,000
RBC
6RUB 750
3/2/10
3/2/17
102
100%
7.5%
RUB 50,000
JPM
7TRY 50
3/2/10
3/2/17
102
100%
10%
TRY 1,000
JPM
8ZAR 100
3/3/10
3/3/17
100.875
100%
8.75%
ZAR 1,000
TD

Settlement and clearing for all bonds will be through Euroclear/Clearstream and all bonds will be listed in Luxembourg.

1The principal amount of the bond was increased on June 22, 2010 by a second tranche for an amount of AUD 25 million with an issue price of 100.77% (settlement date: July 1, 2010). On December 10, 2010, the principal amount was increased by the launch of a third tranche for an amount of AUD 30 million with an issue price of 101.625% (settlement date: December 16, 2010). On February 14, 2011, the principal amount was further increased by the launch of a fourth tranche for an amount of AUD 50 million with an issue price of 101.625% (settlement date: February 22, 2011). On August 24, 2011, the principal amount was increased by the launch of a fifth tranche for an amount of AUD 25 million with an issue price of 108.49% (settlement date: August 31, 2011). The new total outstanding principal amount of the bond is AUD 280 million.

2The principal amount of the bond was increased on March 11, 2010 by a second tranche for an amount of BRL 20 million with an issue price of 102% (settlement date: March 18, 2010). On November 17, 2010, the principal amount was increased by the launch of a third tranche for an amount of BRL 20 million with an issue price of 106.025% (settlement date: November 26, 2010).  On December 13, 2010, the principal amount was increased by the launch of a fourth tranche for an amount of BRL 30 million with an issue price of 106.9250% (settlement date: December 20, 2010). On January 21, 2011, the principal amount was further increased by the launch of a fifth tranche for an amount of BRL 25 million with an issue price of 106.30% (settlement date: January 31, 2011). On April 7, 2011, the principal amount was further increased by the launch of a sixth tranche for an amount of BRL 25 million with an issue price of 103.40% (settlement date: April 14, 2011). On August 29, 2013, the principal amount was increased by the launch of a seventh tranche for an amount of BRL 40 million with an issue price of 99.250% (settlement date: September 5, 2013). On December 11, 2013, the principal amount was increased by the launch of a eighth tranche for an amount of BRL 50 million with an issue price of 99.531% (settlement date: December 8, 2013). On January 23, 2014, the principal amount was increased by the launch of a ninth tranche for an amount of BRL 30 million with an issue price of 98.55% (settlement date: January 29, 2014). On March 19, 2014, the principal amount was further increased by the launch of a tenth tranche for an amount of BRL 35 million with an issue price of 98.20% (settlement date: March 25, 2014). On April 28, 2014, the principal amount was increased by the launch of an eleventh tranche for an amount of BRL 125 million with an issue price of 98.2% (settlement date May 13, 2014). On May 22, 2014, the principal amount was increased by the launch of an twelfth tranche for an amount of BRL 100 million with an issue price of 98.2875% (settlement date May 30, 2014). On July 28, 2014, the principal amount was further increased by the launch of an thirteenth tranche for an amount of BRL 35 million with an issue price of 99.4875% (settlement date August 4, 2014).The new total outstanding principal amount of the bond is BRL 575 million.

3The principal amount of the bond was increased on November 18, 2010 by a second tranche for an amount of COP 75 billion with an issue price of 100.915% (settlement date: November 24, 2010). On November 24, 2010, the principal amount was increased by the launch of a third tranche for an amount of COP 55 billion with an issue price of 116.875% (settlement date: December 6, 2010).  On February 24, 2011, the principal amount was increased by the launch of a fourth tranche for an amount of COP 17.5 billion with an issue price of 111.625% (settlement date: March 2, 2011). On September 4, 2012, the principal amount was further increased by the launch of a fifth tranche for an amount of COP 10 billion with an issue price of 124.125% (settlement date: September 11, 2012) The new total outstanding principal amount of the bond is COP 182.5 billion.

4The principal amount of the bond was increased on March 1, 2010 by a second tranche for an amount of HUF 1 billion with an issue price of 100.135% (settlement date: March 10, 2010). On June 8, 2010, the principal amount was increased by the launch of a third tranche for an amount of HUF 800 million with an issue price of 107.215% (settlement date: June 16, 2010). On June 23, 2010, the principal amount was increased by the launch of a fourth tranche for an amount of HUF 400 million with an issue price of 106.098047% (settlement date: July 1, 2010). On November 15, 2010, the principal amount was further increased by the launch of a fifth tranche for an amount of HUF 1 billion with an issue price of 106.069% (settlement date: November 22, 2010). On December 3, 2010, the principal amount was further increased by the launch of a sixth tranche for an amount of HUF 1 billion with an issue price of 104.898% (settlement date: December 10, 2010). On May 24, 2011, the principal amount was further increased by the launch of a seventh tranche for an amount of HUF 1 billion with an issue price of 105.883% (settlement date: May 31, 2011). On June 22, 2011, the principal amount was further increased by the launch of a eighth tranche for an amount of HUF 1.250 billion with an issue price of 107.295049% (settlement date: June 28, 2011).The new total outstanding principal amount of the bond is HUF 7.950 billion.

5The principal amount of the bond was increased on March 16, 2010 by a second tranche for an amount of MXN 200 million with an issue price of 100.915% (settlement date: March 23, 2010). On September 9, 2010, the principal amount was further increased by the launch of a third tranche for an amount of MXN 150 million with an issue price of 111.825% (settlement date: September 20, 2010). On February 1, 2011, the principal amount was increased by the launch of a fourth tranche for an amount of MXN 150 million with an issue price of 105.60% (settlement date: February 8, 2011). On February 21, 2011, the principal amount was increased by the launch of a fifth tranche for an amount of MXN 150 million with an issue price of 105.427% (settlement date: March 2, 2011). On March 30, 2011, the principal amount was further increased by the launch of a sixth tranche for an amount of MXN 250 million with an issue price of 104.694% (settlement date: April 6, 2011). On April 7, 2011, the principal amount was further increased by the launch of a seventh tranche for an amount of MXN 150 million with an issue price of 106.125% (settlement date: April 14, 2011)The new total outstanding principal amount of the bond is MXN 1.250 billion.

6The principal amount of the bond was increased on November 5, 2010 by a second tranche for an amount of RUB 300 million with an issue price of 109.175% (settlement date: November 12, 2010). On November 11, 2010, the principal amount was increased by the launch of a third tranche for an amount of RUB 500 million with an issue price of 109.475% (settlement date: November 22, 2010). On November 24, 2010, the principal amount was further increased by the launch of a fourth tranche for an amount of RUB 500 million with an issue price of 107.575% (settlement date: December 6, 2010). On January 12, 2011, the principal amount was further increased by the launch of a fifth tranche for an amount of RUB 350 million with an issue price of 106% (settlement date: January 19, 2011). The new total outstanding principal amount of the bond is RUB 2.4 billion.

7The principal amount of the bond was increased on July 27, 2011 by a second tranche for an amount of TRY 25 million with an issue price of 109.425% (settlement date: August 3, 2011). The new total outstanding principal amount of the bond is TRY 75 million.

8The principal amount of the bond was increased on March 31, 2010 by a second tranche for an amount of ZAR 150 million with an issue price of 103.525% (settlement date: April 12, 2010). On November 26, 2010, the principal amount was increased by the launch of a third tranche for an amount of ZAR 100 million with an issue price of 108.575% (settlement date: December 6, 2010). On January 26, 2011, the principal amount was increased by the launch of a fourth tranche for an amount of ZAR 100 million with an issue price of 106.125% (settlement date: February 1, 2011). On February 1, 2011, the principal amount was further increased by the launch of a fifth tranche for an amount of ZAR 100 million with an issue price of 106.125% (settlement date: February 8, 2011). On February 11, 2011, the principal amount was further increased by the launch of a sixth tranche for an amount of ZAR 100 million with an issue price of 105.245% (settlement date: February 18, 2011). On April 11, 2011, the principal amount was further increased by the launch of a seventh tranche for an amount of ZAR 100 million with an issue price of 105.18% (settlement date: April 14, 2011). On July 6, 2011, the principal amount was further increased by the launch of a eighth tranche for an amount of ZAR 100 million with an issue price of 107.3835% (settlement date: July 13, 2011).The new total outstanding principal amount of the bond is ZAR 850 million.

For more information on World Bank Green Bonds, please visit http://treasury.worldbank.org/greenbonds.

World Bank green bonds support World Bank-funded projects that are designed to tackle the causes and consequences of climate change in the developing world. The types of projects that may be supported by World Bank green bonds include alternative energy installations, funding for new technologies that reduce greenhouse gas emissions, reforestation, watershed management and flood protection. The proceeds of the issuance will be credited to a special account that will be used to support these sorts of projects. To date, the World Bank has issued the equivalent of approximately US$1.4 billion of green bonds..

About the World Bank

The World Bank is a global development cooperative owned by its member countries. Its purpose is to help its members achieve equitable and sustainable economic growth in their economies and to find solutions to regional and global problems in economic development and environmental sustainability, all with a view to reducing poverty and improving standards of living. The International Bank for Reconstruction and Development (IBRD), rated Aaa/AAA (Moody’s/S&P) is owned by 186 countries. It is the oldest and largest entity in the World Bank Group and provides its members with financing, risk management products, and other financing services, as well as specialized expertise and strategic and convening services requested by its member countries. To fund this activity, IBRD has been issuing debt securities in the international capital markets for 60 years. The World Bank is one of the most recognized and innovative borrowers in the international capital markets. The World Bank designed and issued the first global bond in 1989. Information on the World Bank, its global bonds and a variety of other offerings available for investors is on the World Bank Treasury website: www.worldbank.org/debtsecurities.

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