Best sovereign/supranational/agency borrower: International Finance Corporation
The International Finance Corporation is only a small part of the World Bank organization, with a modest annual financing requirement. But it does pioneering work in developing local bond markets and its own benchmark dollar deals are of high quality.
|Shapiro, IFC: takes market development seriously|
Nina Shapiro, vice-president of finance and treasurer of the International Finance Corporation, argues that the supranational has taken a consistent and strategic approach to both its US dollar global programme and domestic emerging market currency transactions. The IFC’s key strategic objectives are secure and cost-effective US dollar funding and to build capital markets development in member countries as part of its wider mandate to boost the development of the private sector in developing countries. It is slightly simplistic to place borrowers into one of two camps; those that only finance opportunistically and those that have a strategic policy stance. But it is fair to say that the IFC has a top track record in the capital markets and during the past 12 months achieved notable successes in both main strands of its funding activity.
The supranational has always maintained a commitment to benchmark US dollar deals, from when it issued in Eurobond format in the early 1990s with a typical issue size of just $300 million right through to an evolution onto a global platform with benchmarks of $1 billion.