The World Bank has printed a public blockchain bond, its first significant foray into blockchain technology.
The humanitarian global bank has raised USD 73 million for the two-year bond, called “bondi”, in typically Australian style, through its funding arm, the International Bank for Reconstruction and Development. The target was originally between USD 50 million and USD 100 million aimed at supporting a range of sustainability projects in developing countries around the globe.
One of Australia’s big four banks, the Commonwealth Bank of Australia, who had worked on the project with the World Bank prior to its launch, facilitated the bond issuance.
The 2.2% 28 August 2020 Kangaroo bond was priced at 99.901 for a yield of 2.251%, in line with asset swaps plus 23bp guidance. Pricing was in line with normal Kangaroo bond levels with Triple-A rated German government-guaranteed KfW having paid asset swaps plus 25bp for a AUD 200 million two-year Kangaroo on 10 August, according to Nasdaq.
With 189 member countries, staff from more than 170 countries and offices in over 130 locations, the World Bank Group is a unique global partnership: five institutions working for sustainable solutions that reduce poverty and build shared prosperity in developing countries.
The World Bank has three priorities in working with countries to end poverty and boost prosperity for the poorest people. It helps to create sustainable economic growth, the surest path out of poverty. It also invests in people, through access to health care, education, water and sanitation, and energy, building resilience to shocks and threats that can roll back decades of progress.
As Bitcoin News has previously reported, the World Bank supports its humanitarian programs through an annual USD 50-60 billion bond sale. According to Reuters, the Commonwealth Bank was selected because Australia is known for its established banking infrastructure and the widely-traded Australian dollar.
Recent 2018 projects funded by the World Bank include improving agricultural research in Afghanistan, fighting hunger in Afghan villages, and improving infrastructure in the Palestine territories.
Follow BitcoinNews.com on Twitter: @bitcoinnewscom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews
Image Courtesy: Pixabay