German Sovereign
-
KfW has mandated banks for its first €STR transaction as it looks to become the third public sector borrower to sell a bond linked to the new euro risk-free rate. -
KfW’s inclusion of ESG ratings in a term sheet might seem a superficial step — just one more disclosure of another piece of publicly available data — but it is a step towards a more sensible system of socially responsible investment.
-
KfW made a simple but potentially significant step in the evolution of bond markets this week as it became the first borrower to highlight its environmental, social and governance (ESG) ratings in term sheets for a bond issue, from the mandate announcement to the final pricing details. SSA bankers and issuers have applauded the move and other public sector borrowers are looking to follow, writes Burhan Khadbai.
-
-
KfW returned to the euro market on Tuesday for a tap of its euro May 2027 green bond. The deal offered a small new issue concession at the final spread, as the euro SSA pipeline winds down in the final months of the year.
-
KfW will come to market for a €1bn tap of its May 2027 green bond. The deal will bring the amount remaining in the issuer’s 2019 funding programme to €2bn. Bankers say that there are few significant deals in the pipeline and only limited appetite for pre-funding.
-
KfW was the only public sector borrower in the primary market on Monday, raising $1bn with a March 2021 intra-day trade which was priced with the same coupon as the World Bank’s 10 year dollar deal earlier this month.
-
Instituto de Crédito Oficial (Ico) and Investitionsbank Berlin (IBB) found strong demand in the short end of the euro curve on Wednesday, which SSA bankers are calling the new sweet spot, despite the deeply negative yields.
-
-
Investors jumped on the opportunity to buy euro bonds with a positive yield in the public sector market this week as KfW and Kommunalbanken sold 15 and 10 year bonds respectively, with the latter returning to the currency for a benchmark for the first time since 2017.
-
German agency KfW revisited the Norwegian krone market yet again on Tuesday to place its 15th trade of the year in the currency. The deal brings KfW’s Nokkie issuance up to a record Nkr17bn ($1.9bn) for the year to date, according to Dealogic, Nkr250m more than its previous 2011 record.
-
Investors pounced on the opportunity to buy a bond with a positive yield in the euro market by KfW on Tuesday. Elsewhere, the Asian Development Bank drew strong demand to sell its biggest ever green bond in euros following its debut in 2018.
