News

IDB Launches New 10-year fixed rate Australian Dollar Sustainable Development Bond

Highlighting Sustainable Development Goal # 11— Sustainable Cities and Communities

The Inter-American Development Bank (“IDB” or “IADB”), rated Aaa/AAA, priced a new 10-year fixed rate Sustainable Development Bond (“SDB”) focused on SDG#11 (Sustainable Cities and Communities) in Australian Dollar (AUD) valued in 140 million, equivalent to US$97 million. Nippon Life Insurance Company is the sole investor of the bond with Credit Agricole CIB being the arranger.

This transaction represents the IDB’s first SDB private placement focused on SDG#11 in Australian Dollars. The proceeds of this transaction will be directed to support sustainable development in IDB’s member countries. This effort is aligned with the Bank’s strategic priorities to reduce poverty and inequalities in Latin America and the Caribbean by promoting economic and social development in a sustainable, climate friendly way. With this bond the IDB raises awareness for the Sustainable Development Goal #11: Sustainable Cities and Communities, which include projects that promote neighborhood improvements, provide access to safe and inclusive public spaces for women, children, and persons with disabilities, and construction of low-carbon housing for low income people.

 

Issuer:

Inter-American Development Bank (Ticker IADB)

Issuer rating:

Aaa / AAA (Moody’s / S&P)

Amount:

AUD 140,000,000

Settlement date:

15 July 2020

Coupon:

Coupon payment dates:

1.30%

 15 July and 15 January (semi-annual)

Maturity date:

15 January 2031

Clearing systems:

Euroclear, Clearstream

Lead manager:

Credit Agricole CIB

ISIN / CUSIP:

XS2200553613 / 220055361

About the IDB

The Inter-American Development Bank is a multilateral financial institution supporting Latin America and the Caribbean’s efforts to reduce poverty and inequality, and to bring about development in a sustainable, climate-friendly way. Established in 1959, it is the leading source of development financing for Latin America and the Caribbean, with a strong commitment to achieving measurable results.  Since becoming the first Asian member country of the IDB in 1976, Japan has been involved in IDB projects through a number of funds and programs.

About Nippon Life Insurance Company

Nippon Life Insurance Company was founded in 1889. Now, as one of Japan's largest private life insurers, it has total assets of US$736 billion, revenue from insurance and reinsurance of US$53 billion and core operating profit of US$6.4 billion as of March 31, 2020. Nippon Life’s first priority is fulfilling its coverage obligations and achieving stable growth of investment returns, giving due consideration to security, profitability, liquidity, and the public nature of its business in managing assets. With more than 36 million policies in Japan, the company employs various sales channels to offer a wide range of products, including individual and group life and annuity policies, and mainly use face-to-face sales channels for traditional insurance products. The Company is headquartered in Osaka, and primarily operates in Japan, North America, Europe and the rest of Asia.

Nippon Life has established Nippon Life’s Vision for Achieving the Sustainable Development Goals (SDGs), and will continue working to better serve the interests of policyholders and to contribute to the formation of a sustainable society by bolstering investment and finance in new and growing fields and ESG, after taking into account matters of a social and public nature and investment returns. 

 

Press contact
More Information

Laura Fan
Head of Funding
lauraf@iadb.org
(202) 623 - 3772

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