World Bank

The World Bank returned to the Canadian dollar on Wednesday with a new C$1.5bn ($1.11bn) sustainable development bond, as movements in the cross currency basis swap, as well as the spread to Canadian Mortgage Bonds (CMBs), allowed the supranational to print the largest SSA Maple deal since last July.

Three SSA borrowers hit the dollar market on Tuesday. The Inter-American Development Bank raised $4bn with a five year while Kommunalbanken tested the waters at 10 years. The World Bank joined them with a small but impressive bond linked to Sofr.

The World Bank has published what it describes as its first impact report covering all of the bonds it has issued and its entire development portfolio.

The European Investment Bank inaugurated its sustainability awareness bond (SAB) framework in Australian dollars on Tuesday, while on Wednesday NRW.Bank printed the largest SSA Kangaroo so far this year.

Trading levels given are bid-side spreads versus mid-swaps and/or an underlying benchmark and bid-yields from the close of business on Monday, May 11. The source for secondary trading levels is ICE Data Services.

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Despite a crash in dollar swap spreads as the US Treasury announced a record borrowing binge this week, SSA bankers remain bullish on supply, with KfW rumoured to be plotting a return to dollars after leaning heavily on euros for its benchmark funding this year.

A slide in euro and dollar MTN volumes has given Scandinavian banks the chance to propel themselves up the MTN leader board.

Improving the transparency of debt and investment in emerging and developing countries will be even more important to improve the long-term sustainability of lending in the wake of the urgent need for countries to secure financing to fund initiatives to tackle the pandemic and deal with its economic impacts, World Bank president David Malpass said on Friday.

The World Bank followed up Wednesday’s record breaking dollar deal with another one for the record books on Thursday, scooping up Skr11.5bn ($1.2bn) in the Swedish krona market to combat the coronavirus pandemic.

Banks and other private creditors are under pressure to follow the lead of the Group of 20 nations and suspend debt service payments by the poorest countries, as lobby groups urged world leaders to go further and cancel outstanding loans. Phil Thornton reports.

The World Bank's treasury team has had a busy week, raising almost $15bn in three days, including the largest ever SSA dollar benchmark on Wednesday.