Washington, D.C. – August 25, 2026
The World Bank returned to the euro market at scale on August 25, 2026, pricing a EUR 3 billion 10-year Sustainable Development Bond that drew more than double the amount on offer, in one of the strongest euro order books the institution has recorded.
The International Bank for Reconstruction and Development (IBRD, rated Aaa/AAA) said the benchmark, maturing September 2, 2036, attracted over 115 orders totaling more than EUR 6 billion. The bond priced at 99.775% with an annual coupon of 3.450% and a yield of 3.477%, equivalent to a spread of +25.5 basis points over the reference German Bund. Settlement is scheduled for September 2, 2026, with listing on the Luxembourg Stock Exchange.
Lead managers were Crédit Agricole, Citi, J.P. Morgan and Goldman Sachs.
A Milestone Return to the Euro Curve
The deal marks the World Bank's first EUR benchmark of its 2027 fiscal year and its first 10-year euro benchmark since July 2025 — the first 10-year SSA (sovereign, supranational and agency) euro benchmark to price after the summer break. For treasury officials, timing and tenor matter: a 10-year point establishes a liquid reference for other borrowers and signals confidence in long-dated multilateral credit despite geopolitical tension and yield volatility.
"Returning to the euro market with a 10-year Sustainable Development Bond is a milestone that reflects the enduring confidence investors place in the World Bank's mission and long-term financial strength. An order book of over EUR 6 billion speaks to investors' recognition of the positive, lasting impact the programs these bonds support deliver for people around the world." — Jorge Familiar, Vice President and Treasurer, World Bank Group, August 25, 2026
Lead managers echoed that assessment. Citi's Head of SSA Debt Capital Markets, Ebba Wexler, called the result "a resounding success" and noted the order book was "one of the strongest achieved by the World Bank in EUR, underscoring the depth and quality of investor support." Crédit Agricole's Benjamin Moulle highlighted the ability to secure a large, diversified book with "very limited concession" despite a "tense geopolitical context and highly volatile yield environment." Goldman Sachs' Dorothee Amar and J.P. Morgan's Sarah Lovedee pointed to the deal's creation of a new liquid 10-year point on the World Bank's euro curve.
Where the Money Goes
World Bank Sustainable Development Bonds are aligned with the Sustainability Bond Guidelines published by the International Capital Market Association. Proceeds are not earmarked to individual projects — payments are not funded by any single program — but the framework links borrowing to the Bank's broader mission to end extreme poverty and boost shared prosperity on a livable planet. The Bank, owned by 189 nations and operating in capital markets for over 75 years, uses bond issuance to fund loans, guarantees and advisory services for middle-income and creditworthy countries, including regional and global development challenges.
The World Bank's investor presentation and Impact Report emphasize that such bonds support programs across health, education, climate resilience and infrastructure, with reporting on allocation and impact delivered through its Sustainable Development Bond Framework.
Transaction Snapshot
| Term | Detail |
|---|---|
| Issuer | World Bank (IBRD) Aaa/AAA |
| Amount | EUR 3,000,000,000 |
| Tenor | 10 years (matures 2 Sept 2036) |
| Coupon / Yield | 3.450% p.a. / 3.477% |
| Issue price | 99.775% |
| Spread vs Bund | +25.5 bps |
| Settlement | 2 Sept 2026 |
| Listing / ISIN | Luxembourg Stock Exchange / XS3486811766 |
| Joint leads | Crédit Agricole, Citi, J.P. Morgan, Goldman Sachs |
Market Context
The euro SSA market in late August 2026 has been watched closely after a volatile summer for rates. The World Bank's ability to print a 10-year benchmark with minimal new-issue premium suggests demand for high-quality, long-duration sustainable assets remains deep, particularly among European bank treasuries and official institutions, which together took 84% of the deal. The Americas and Asia provided the balance, indicating continued global reach.
The transaction follows the Bank's USD 7-year Sustainable Development Bond on August 18, 2026, which also met strong demand from high-quality investors, and a USD 1.5 billion 7-year SOFR-linked bond in July that kicked off fiscal year 2027 funding.
For development finance, the signal is operational as much as financial: with a nearly 30% shortfall facing other global health initiatives — the polio eradication programme cited the figure this week — the ability of multilateral banks to raise long-term capital at scale underpins their role as countercyclical lenders.
Source: World Bank Press Release, August 25, 2026 — World Bank's EUR 3 Billion 10-Year Sustainable Development Bond Attracts Exceptional Global Demand, Washington, D.C. World Bank Treasury Investor Relations.
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