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IDB Invest Launches Inaugural Euro Social Bond Benchmark

The proceeds will finance­­­ eligible social projects to promote private sector development in Latin America and the Caribbean


IDB Invest, the IDB Group’s private sector institution rated Aa1/AA+/AAA, raised EUR650 million through a 5-year, fixed-rate social bond benchmark issuance. This is IDB Invest’s inaugural euro-denominated bond and follows the publication of its first Sustainable Bond Allocation and Impact Report earlier this year.

The five-year bond pays an annual coupon of 3.125% and is priced at mid-swaps plus 12 basis points. Bank of America, BNP Paribas, Deutsche Bank and DZ Bank acted as joint bookrunners on the deal.

Demand for the transaction was strong, with 32 investors putting in orders for more than EUR1 billion. Central banks and official institutions took the lion’s share of the bonds with 49%, while the remaining was shared between Asset Managers (25%), Banks (20%), and Insurance / Pension Funds (6%). In terms of geographical distribution, the split is highly diversified. Benelux and Switzerland lead with 22% and 21% of the allocations, followed by Asia with 14%, Other Europe with 12%, UK/Ireland accounts with 11%, France with 10% and, finally, Germany with 10%.

IDB Invest’s inaugural Sustainable Bond Allocation and Impact Report released in October includes impact from $1 billion in sustainability bonds, $424 million in social bonds and $186 million in green bonds, which financed green and inclusive private sector projects across Latin America and the Caribbean.

The report marked a milestone for IDB Invest as a pillar of its Sustainable Debt Framework. Established last year, this framework allows IDB Invest to issue green, social and sustainability bonds, and to develop its offering as a supranational bond issuer with thematic bonds that reflect its overall approach to impact and ESG investing. IDB Invest is the first supranational to establish a sustainability bond program that allows for the issuance of green, social and sustainability bonds from the same framework.

This landmark transaction, IDB Invest’s first euro-denominated issuance, provides European investors with the unique opportunity to invest in Latin America and the Caribbean’s private sector through a supranational issuance.

IDB Invest’s entry into the euro market furthers its commitment to economic growth, social inclusion and sustainable development in Latin America and the Caribbean. The social’s bonds proceeds will finance eligible green and social projects defined in the issuer's Sustainable Debt Framework.

The euro bond’s launch comes almost exactly 10 years after IDB Invest’s first foray into global capital markets.

Investor Distribution


Distribution by Geography


Distribution by Investor Type




Central Banks / Official Institutions




Asset Managers






Other Europe


Insurance / Pension Funds















Transaction Summary


Inter-American Investment Corporation (IDB Invest)

Issuer rating:

Aa1/AA+/AAA (Moody's/S&P/Fitch) (all three with a stable outlook)


Global Debt Program


EUR 650 million

Settlement date:

November 15, 2022


3.125% p.a.

Maturity date:

November 15, 2025

Issue price:


Issue yield:

3.176% p.a.


London Stock Exchange

Clearing systems:

Euroclear and Clearstream

Joint lead managers:

Bank of America, BNP Paribas, Deutsche Bank and DZ BANK


About IDB Invest

IDB Invest, a member of the IDB Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social and environmental development in the region. With a portfolio of $15.3 billion in asset management and 375 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.

Information on IDB Invest bonds is available at our Investors page.