WASHINGTON, D.C., August 11, 1998 --- The International Finance Corporation today launched a Hong Kong dollar 1 billion (approximately US$128 million equivalent) issue under its Global Medium Term Note program. The 2-year notes carry an annual coupon of 11.30 percent per annum and an issue price of 100.30 percent. The lead manager and bookrunner is HSBC Markets and Dao Heng Bank Limited is co-lead manager. Application will be made to the Hong Kong Monetary authority for Liquidity Adjustment Facility Eligibility in order to facilitate repo trading.
This transaction is the fifth borrowing for the new fiscal year which began on July 1, 1998, and brings IFC’s market borrowings for FY99 to about US$459 million. IFC uses its note and bond offerings to raise funds in the international capital markets. These funds are then used to support the operations of IFC, including its lending activities.
IFC, part of the World Bank Group, fosters economic growth in the developing world by financing private sector investments, mobilizing capital in the international financial markets and providing technical assistance and advice to governments and businesses. Its long-term debt is rated triple-A by both Standard & Poor’s and Moody’s Investors Service