Updated
Updated · Bloomberg · Jun 15
World Bank Tops $1 Billion in Loan-Backed Bonds With $509 Million Second CLO
Updated
Updated · Bloomberg · Jun 15

World Bank Tops $1 Billion in Loan-Backed Bonds With $509 Million Second CLO

1 articles · Updated · Bloomberg · Jun 15

Summary

  • $509 million from the latest deal pushed the World Bank’s loan-backed bond program past $1 billion, extending a funding effort tied to job creation in developing nations.
  • The transaction is the International Finance Corp.’s second collateralized loan obligation in less than a year, following a similarly sized sale last year.
  • That CLO packages 62 dollar-denominated loans into a multi-tranche bond offering, drawing assets from borrowers across South America, the Middle East, North Africa and Asia.

Insights

Beyond job creation, what are the hidden financial risks for investors in these new emerging-market bonds?
Could the World Bank's plan to boost jobs inadvertently trigger financial instability in developing nations?