WASHINGTON — The Inter-American Development Bank (IDB) issued its first Amazonia Bond of 2026, raising a record 1 billion Australian dollars — the Bank’s largest-ever single-tranche bond in the Australian dollar market — to finance sustainable development projects across the Amazon region.
This is the second transaction under the Amazonia Bond program launched in 2025, building on the Bank’s strategy of tapping the full power of capital markets to support conservation, economic opportunity, and community development in the Amazon.
The bond is structured under the Amazonia Bond Issuance Guidelines, co-developed by the IDB and the World Bank, and the IDB’s Sustainable Debt Framework, ensuring strict standards for use of proceeds, impact measurement, and transparency.
“This first benchmark issuance under our $1 billion Amazonia Bond Program shows how capital markets can support conservation and development at scale,” said Ilan Goldfajn, president of the IDB Group. “Issuing this bond in Australian dollars underscores that protecting the Amazon is a global priority — and that investors around the world are willing to back it with long-term capital. The proceeds will support projects that protect the forest, strengthen local economies, and deliver measurable results, while providing a model that countries and institutions can use to develop their own Amazonia bond programs.”
The bond pays a semi-annual coupon of 4.60% and matures on July 21, 2031. It was priced with a spread of 39 basis points over semi-quarterly asset swap, equivalent to 38.9 basis points over the Australian Government Bond 1.5% due in June 2031. Final order books exceeded AU$3.5 billion, including AU$400 million from joint lead managers.
The Amazonia Bond Program is part of Amazonia Forever, the IDB Group’s regional coordination platform for conservation and sustainable development in the Amazon basin. The program focuses on expanding innovative financing, strengthening knowledge and data, and supporting regional coordination among eight Amazon countries.
“This transaction is a significant milestone with proceeds expected to be used to support environmental, social and economic development in the Amazonia region," said Jimmy Choi, global head of capital markets at ANZ. "A first-of-its-kind, this Amazonia Bond unlocks private capital for the region and further strengthens IDB’s distinguished track record in the Kangaroo market. We are pleased to have partnered with our longstanding customer, the IDB, on this important project.”
“We are honored to support IDB’s inaugural Amazonia Bond issuance in the Australian dollar market. The IDB’s leadership, robust framework, and commitment to transparency have strongly resonated with investors," said Keiji Machida, chairman and CEO of Daiwa Capital Markets America Inc. "This transaction illustrates how well-structured, high-quality bond issuances can effectively channel global liquidity to where it matters most. Congratulations to the IDB team on an outstanding execution and a well-balanced, high-quality order book that underscores market confidence in both the IDB and its Amazonia initiative.”
“Congratulations to the IDB team on pricing its inaugural benchmark in Amazonia Bond format. This innovative structure provides international investors with a AAA-rated, liquid instrument, with proceeds dedicated to fostering sustainable development in the Amazonia region. The depth of demand on this transaction speaks to the IDB’s status as a premier issuer within the Kangaroo SSA market. RBC is delighted to have been involved,” said Jonathan Hunter, head of global markets of RBC Capital Markets.
Bond Summary Terms:
| Issuer: | Inter-American Development Bank (Ticker: IADB) |
| Issuer rating: | Aaa / AAA (Stable / Stable) |
| Amount: | AUD 1 billion |
| Settlement date: | January 21, 2026 (T+8) |
| Coupon: | 4.60% (payable semi-annually) |
| Coupon payment dates: | January 21 and July 21, semi-annually up to and including the Maturity Date, with a full coupon on 21 July 2026 |
| Maturity date: | July 21, 2031 |
| Issue price: | 99.765% |
| Issue yield: | 4.649% |
| Reoffer spread (bps): | SQ ASW+39 bps / ACGB 1.5% June 2031 +38.9 bps / EFP+54.4 bps |
| Listing: | Not Listed |
| Clearing systems: | Austraclear, Euroclear, Clearstream |
| Joint lead managers: | ANZ, Daiwa Capital Markets, RBC Capital Markets |
| ISIN: | AU3CB0330306 |
Distribution Summary:
| By Geography | % | Investor Type | % |
| Asia (ex.AUS/NZ) | 34% | Banks | 36% |
| Australia/ New Zealand | 31% | Asset Managers | 32% |
| Europe / Middle East / Africa | 25% | Central Banks / Official Institutions | 20% |
| Americas | 10% | Pension Funds / Insurance / Corporates | 11% |
| Other | 1% |
About the IDB
The Inter-American Development Bank (IDB), a member of the IDB Group, is devoted to improving lives across Latin America and the Caribbean. Founded in 1959, the Bank works with the region’s public sector to design and enable impactful, innovative solutions for sustainable and inclusive development. Leveraging financing, technical expertise, and knowledge, it promotes growth and well-being in 26 countries. Visit our website: https://www.iadb.org/en
Information on bonds for investors is available on the IDB website: https://www.iadb.org/investors
*This press release is not an offer for sale of the securities of the Inter-American Development Bank. Any offering of IDB securities will be made only by means of a prospectus or other definitive offering document that contains important information about the securities, the offering and IDB. Offerings of securities will be made only in compliance with applicable laws.
Mena Duran,Melissa
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