The 77 Bank, Ltd., The World Bank, BNP Paribas Securities (Japan) Ltd.
Tokyo, February 26, 2016 – The 77 Bank Ltd. (President: Teruhiko Ujiie, hereinafter “77 Bank”) today announced the successful investment in a USD 40 million (approximately JPY4.5bn) Sustainable Development Bond (SDB) issued by the World Bank (International Bank for Reconstruction and Development (IBRD), Aaa/AAA). BNP Paribas was mandated to arrange this private placement.
This marks the first World Bank SDB private placement that a Japanese bank has invested in. The funds invested will be used by the World Bank to finance projects that are aimed at reducing poverty and supporting sustainable growth in developing countries.
The World Bank’s mission is to end extreme poverty within a generation and to promote shared prosperity in such a way as to be sustainable over time and across generations.
The World Bank raises funds in the international capital markets to finance projects across a range of sectors, including: education, healthcare, infrastructure, law and governance, agriculture and food security, environment, energy, trade.
The Tohoku region in which the 77 Bank is headquartered received substantial support from the international community in March 2011, after the earthquake and tsunami hit Japan. 77 Bank believes that investing in a Sustainable Development Bond is one way to return support to the international community whilst ensuring a high quality investment for deposits. 77 Bank will continue to contribute to society by investing in similar opportunities.
About the 77 Bank
The 77 Bank, Ltd., was founded in 1878 as Japan’s 77th national bank. Headquartered in Sendai—the capital of Miyagi Prefecture—the Bank is the largest in the Tohoku region, with a branch network covering the northern part of Honshu, Japan’s largest island. Based on its philosophy, The 77 Bank continues to strengthen its business foundation and enhance its management quality in order to be the “Value-creating bank” that grows together with and is the most trusted by the region. As of September 30, 2015, The 77 Bank had capital of ¥24.7 billion, 141 domestic branches and 2,854 employees.
About the World Bank
The World Bank (International Bank for Reconstruction and Development, IBRD), rated Aaa/AAA (Moody’s/S&P), is an international organization created in 1944, and operates as a global development cooperative owned by 188 nations. It provides its members with financing, expertise and coordination services so they can achieve equitable and sustainable economic growth in their national economies and find effective solutions to pressing regional and global economic and environmental problems. The World Bank has two main goals: to end extreme poverty and promote shared prosperity. It seeks to achieve them primarily by providing loans, risk management products, and expertise on development-related disciplines to its borrowing member government clients in middle-income countries and other creditworthy countries, and by coordinating responses to regional and global challenges. The World Bank has been issuing bonds in the international capital markets for over 60 years to fund its sustainable development activities and achieve a positive impact. Information on bonds for investors is available on the World Bank Treasury website: www.worldbank.org/debtsecurities.
About BNP Paribas
BNP Paribas has a presence in 75 countries and has more than 185,000 employees, including 145,000 in Europe. It ranks highly in its two core activities: Retail Banking & Services (comprised of Domestic Markets and International Financial Services) and Corporate & Institutional Banking. In Europe, BNP Paribas has four domestic markets (Belgium, France, Italy, and Luxembourg) and BNP Paribas Personal Finance is the leader in consumer lending. BNP Paribas is rolling out its integrated retail banking model across the Mediterranean region, in Turkey, in Eastern Europe, and throughout a large network in the western part of the United States. In its Corporate & Institutional Banking and International Financial Services activities, BNP Paribas also enjoys top positions in Europe, a strong presence in the Americas, and solid and fast-growing businesses in the Asia-Pacific region.