NDB - New Development Bank

01/15/2025 | Press release | Distributed by Public on 01/15/2025 03:40

Press ReleaseNew Development Bank Issued RMB 6 Billion 5-year Panda Bond

On January 14, 2025, the New Development Bank (NDB) successfully issued a RMB 6 billion, 5-year Panda Bond priced at 1.7% in China's Interbank Bond market. This transaction, the first NDB issuance in 2025, reinforces NDB's commitment to the Panda Bond market and maintains the Bank's position as the largest issuer in this market.

During the book-building process, the book exceeded CNY 8 bln. The bond issuance attracted interest from over 20 investors, including central banks, official institutions, bank treasuries, and insurance companies, with a diverse geographic distribution.

The net proceeds from the bond sale will be used as general corporate resources of the New Development Bank and will finance infrastructure and sustainable development projects that benefit its member countries and contribute to achieving the Sustainable Development Goals.

Issuer New Development Bank (NDB)
Issuer rating AA+ (S&P) / AA (Fitch)
Amount RMB 6,000,000,000
Issuance Date 14 January 2025
Settlement Date 16 January 2025
Maturity Date 16 January 2030
Tenor 5 years
Currency RMB
Listing China Interbank Bond Market
Lead Underwriter Bank of China
Joint Underwriters Agricultural Bank of China Limited, Bank of Communication, China Construction Bank Corporation, CZ Bank, Industrial and Commercial Bank of China Limited and CITIC Securities Co., Ltd. as joint lead underwriters

"We are pleased to see a strong demand from investors for our RMB 6 bln bond issuance in China's Interbank Bond market, which strengthens the New Development Bank's status as one of the largest MDB issuers in the Panda bond market," said Mr. Monale Ratsoma, Vice-President and Chief Financial Officer of the NDB. "This milestone reaffirms NDB's commitment to mobilizing resources for infrastructure and sustainable development projects in BRICS and other emerging market economies and developing countries. In line with the General Strategy for 2022-2026, NDB works towards expanding its funding sources through local currency-denominated bond issuances, both onshore and offshore, in a cost-effective manner".

With the successful issuance of the RMB 6 billion 5-year Panda bond, the total amount of Panda bonds issued by NDB has reached RMB 61.5 billion.