WASHINGTON, D.C., January 26, 1999 --- The International Finance Corporation today launched a Euro 60 million structured note borrowing (approximately US$69.5 million) under its Global Medium Term Note program. The 11-year callable notes have a coupon as follows: Year 1: 10.00 percent, Years 2 and 3: 4.00 percent and Years 5 to 11: 7.00 percent minus 12-month EURIBOR times (365/360) with a minumum of zero. The notes are callable annually at par starting at the end of Year 3 and have an issue price of 101.10 percent. The proceeds of the issue were swapped into US dollar floating rate funds. The joint-lead managers for the issue are Credit Suisse First Boston (Europe) Ltd, Banco Popolare Novara and Cassa di Risparmio di Bologna (CARISBO).
This transaction represents the 25th borrowing for the 1999 fiscal year which began on July 1, 1998, and brings IFC's market borrowings for FY99 to about US$3,660 million. The funds which IFC raises in the international capital markets are used to support the operations of IFC, including funding its lending operations.
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.
