Broadening IDA’s Access to Additional Private Capital
WASHINGTON, DC, September 15, 2026 – The International Development Association (IDA, Aaa/AAA), member of the World Bank Group, today priced a USD 3 billion 5-year global benchmark that matures on September 25, 2031 following the US statutory approval recognizing IDA securities as “exempted securities” under US federal securities laws. With 125 orders, the transaction was 2.6 time oversubscribed with orders reaching almost USD 8 billion, including more than 30% from investors in the United States.
The exemption enacted earlier this year allows IDA to offer and sell its securities without restrictions throughout the US without needing to follow the regular US SEC registration process, saving substantial costs in legal and registration fees. The exemption acknowledges that IDA is already closely supervised by US authorities via representation at the IDA Board of Governors and resident Directors. Unrestricted access to the US capital markets facilitates participation by a broader range of US investors, helping to IDA mobilize private sector capital in support of IDA’s mission to deliver development impact in the world’s lowest-income countries. The exemption passed by US Congress and signed into law in March 2026 aligns IDA’s regulatory treatment with that of other World Bank Group institutions, the International Bank for Reconstruction and Development and the International Finance Corporation.
The bond offers a semi-annual coupon of 4.875% per annum and a semi-annual yield of 4.884%. It was priced at 7.1 basis points over the US Treasury due August 31, 2031. The lead managers are Bank of America, BMO Capital Markets, Citi, and J.P. Morgan.
“Since its creation, IDA has helped countries invest in people and infrastructure, improving lives and creating jobs for millions around the world,” said Anshula Kant, Managing Director and World Bank Group Chief Financial Officer. “This inaugural SEC registration-exempt bond marks an important milestone in IDA’s evolution as a capital markets issuer, broadening access to new investors and strengthening our ability to connect private capital with development impact at scale.”
