Tokyo, July 14, 2022 — The World Bank (International Bank for Reconstruction and Development, IBRD, Aaa/AAA) today issued an AU$50 million Sustainable Development Bond due July 2027 as it engages with investors on the importance of road safety. This was also the first Sustainable Development Bond sold to a Japanese investor while raising awareness for road safety. Sompo Japan Insurance Inc. was the sole investor in the transaction and Daiwa Capital Markets America Inc. acted as lead manager.*
The World Bank supports programs and activities in its member countries designed to achieve a positive social and environmental impact in line with the World Bank’s “twin goals” of eliminating extreme poverty and promoting shared prosperity. These “twin goals” are aligned with the Sustainable Development Goals (SDGs).
Together with member countries, the World Bank is working to introduce transportation policies and systems that increase safety and reduce road fatalities. Improving the safety of transportation systems directly contributes to SDG 3 (Good Health and Well-Being) and SDG 11 (Sustainable Cities and Communities). Investments that incorporate road safety also contribute to many other SDGs by saving lives, preserving human capital, and promoting economic development.
Road safety is an important development challenge because road crashes rank as the leading cause of death globally for children and youth aged 5-29. The World Bank is implementing a “safe system” approach to support road safety in its member countries. It includes strengthening countries’ capacity to design and implement effective road safety interventions and create a holistic, country-level road safety management system.
For more information about the World Bank’s Road Safety Program:
https://www.worldbank.org/en/topic/transport
https://www.roadsafetyfacility.org/
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 is the original member of the World Bank Group and operates as a global development cooperative owned by 189 nations. The World Bank provides loans, guarantees, risk management products, and advisory services to middle-income and other creditworthy countries to support the Sustainable Development Goals and to end extreme poverty and promote shared prosperity. It also provides leadership to coordinate regional and global responses to development challenges. The World Bank has been issuing Sustainable Development Bonds in the international capital markets for over 70 years to fund programs and activities that achieve a positive impact. More information on World Bank bonds is available at www.worldbank.org/debtsecurities.
World Bank bonds support the financing of programs that further the Sustainable Development Goals (SDGs). World Bank bonds are aligned with the Sustainability Bond Guidelines published by the International Capital Market Association and as such support the financing of a combination of green and social, i.e., “sustainable development” projects, programs and activities in IBRD member countries as described in the World Bank Sustainable Development Bond Framework. The World Bank is also a member of the Executive Committee of the Green Bond, Social Bond, and Sustainability Bond Principles. A key priority for the World Bank’s capital markets’ engagement is building strategic partnerships with investors to promote the importance of private sector financing in sustainable development. The World Bank’s Sustainable Development Bond Impact Report describes how the World Bank engages with investors on the SDGs and raises awareness for specific development challenges.
Disclaimers
Net proceeds of the bonds described herein are not committed or earmarked for lending to, or financing of, any particular projects or programs, and returns on the bonds described herein are not linked to the performance of any particular project or program.
This press release is not an offer for sale of securities of the International Bank for Reconstruction and Development ("IBRD"), also known in the capital markets as "World Bank". Any offering of World Bank securities will take place solely on the basis of the relevant offering documentation including, but not limited to, the prospectus, term sheet and/or final terms, as applicable, prepared by the World Bank or on behalf of the World Bank, and is subject to restrictions under the laws of several countries. World Bank securities may not be offered or sold except in compliance with all such laws. The World Bank Sustainable Development Bond Framework and the information set forth therein are not a part of, or incorporated by reference into, the offering documentation.
This press release contains or references links to websites operated by third parties ("Third Party Websites"). These links are provided for information purposes only. Third Party Websites are not under control of IBRD. IBRD is not responsible for the content of, or links contained in, any Third Party Website, and the inclusion of such links does not imply IBRD endorses, recommends, or accepts any responsibility for the content of such Third Party Website.
*This press release was updated on Aug. 16, 2022, to include the name of the investor and the bank that arranged the transaction.
Contact
Heike Reichelt
