World Bank

The World Bank and KfW capitalised on strong momentum in the Russian rouble Eurobond market to tap an existing line and print a new issue, respectively.

With a large NZ$500m redemption due on Thursday, International Finance Corp (IFC) entered the Kauri market on Monday pricing a new NZ$300m ($242.55m) 3.5% five year line – a tenor that has dominated SSA issuance this summer.

The World Bank returned to the Mexican peso market for the second time this year when it priced a MP800m ($60.9m) two year trade on Tuesday, which it increased by a further MP200m the following day.

KfW priced a five year NZ$100m ($81.26m) bond on Thursday. Although the tenor follows a trend of recent Kauri deals, the German agency opted for the less familiar Eurobond format.

Bank Nederlandse Gemeenten (BNG) tapped its 2.375% five year Canadian Eurobond on Tuesday. This marks the start of further loonie activity according to bankers.

The World Bank priced a new 2017 Kauri bond on Tuesday. Growing from just NZ$200m, bankers expect this to start a new trend for Washington supranational Kauri bonds.

World Bank printed its largest Polish zloty-denominated deal in a decade late last week, helping the issuer to race out the blocks at the start of its funding year.

The European Investment Bank (EIB) tapped a seven year Swedish krona green bond and a six year Norwegian krona bond on Wednesday. The Swedish krona trade was particularly well received and the issuer is looking to tap the bond further at the end of the summer holidays.

The International Finance Corp (IFC) answered investors’ prayers on Tuesday when it sold the second largest Kangaroo bond of the year.

The Kangaroo market is set to host a streak of deals from Washington supranationals as soon as next week. With these borrowers having just entered a new financial year, SSA supply having bounced back in the last two weeks and Kangaroo investors desperate to buy lower-yielding but safer assets detached from Europe, rumoured issuers including the International Financial Corp and the World Bank are primed for success if and when they decide to print Australian dollar paper.

While the Kangaroo market awaits a much-rumoured return of Washington supranationals as soon as next week spurred by the Asian Development Bank’s A$1.1bn ($1.1bn) blowout priced on June 26, KfW once again proved to be one of the most resilient Kangaroo borrowers when it priced a A$300m tap of its 6% 2016s on Wednesday.

Driven by a hefty Russian rouble redemption schedule so far this year, the World Bank tapped the rouble bond market for the second time in 2012 on Monday with a Rb2bn ($61.52m) 6.25% three year note.