World Bank

KfW opened up a window for 10 year dollar bonds in the public sector market on Tuesday amid a rise in long-dated US Treasury yields with two more borrowers hoping to find similar success in the tenor on Wednesday.

Expectations are building that the G20 Debt Service Suspension Initiative (DSSI), introduced to alleviate the debt burden of the world’s poorest countries in the face of the coronavirus shock, will be extended this winter.

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, July 27. The source for secondary trading levels is ICE Data Services.

Rating: Aaa/AAA

The World Bank impressed with its first benchmark transaction of its new fiscal year this week as it received solid demand despite pricing tightly to match the spread it paid for a five year deal before the outbreak of the coronavirus pandemic.

The International Finance Facility for Immunisation (IFFIm) was set up in 2006 to provide funding to Gavi, the Vaccine Alliance, itself a public/private sector partnership, to expedite the vaccination of children in the poorest countries against endemic infectious diseases. Doris Herrera-Pol, IFFIm board member and former director of global capital markets at the World Bank, spoke to GlobalCapital about the role the capital markets can play in the development and deployment of a Covid-19 vaccine.

World Bank scored an impressive result with the first dollar benchmark of its new fiscal year as it priced at the joint-tightest level versus mid-swaps for a five year deal in the currency since the onset of the coronavirus pandemic.

World Bank mandated banks on Monday to lead its first dollar benchmark transaction of its 2020/21 financial year, which could be priced tighter versus mid-swaps than any other five year dollar trade since the start of the coronavirus pandemic.

Private sector involvement in Covid-19 debt relief efforts seems set for a mire of unclear messaging and recriminations, after G20 figures published this weekend disappointed.

G20 finance ministers are being urged to use their meeting this weekend to include private sector creditors in their deal on debt interest relief for low-income countries.

The head of the World Bank has, for the first time, called for parts of the sovereign debts owed by the world’s poorest countries to official bilateral creditors to be cancelled, in the face of the coronavirus’s impact.

This week's funding scorecard looks at the progress supranationals have made in their funding programmes at the start of July.