The Central American Bank for Economic Integration (BCIE) set a new record by pricing a Global Benchmark Social Bond for $2 billion.
This operation positions itself as the largest social bond issued by a Multilateral Development Bank in Latin America. The process involved more than 130 investors from five continents, including 35 new accounts composed of central banks, official institutions, multilateral organizations, and high-level asset managers.
This backing allowed the bank to obtain competitive conditions, achieving a price compression from initial levels of MS+57 bps to close at MS+49 bps at launch. The funds raised will be channeled towards projects in education, health, social development, and connectivity, complying with the institution's Sustainable Bonds Framework.
The institution's Executive President, Gisela Sánchez, stated that this historical return confirms the effectiveness of the renewed financial strategy and the optimization of the bank's credit profile. The transaction, set for a three-year term with a fixed coupon of 3.75%, represents the largest transaction executed by the entity in the capital markets, consolidating its return to the global financial scene under the 144A/Reg S format.
This financial achievement aligns with a funding plan designed for the organic growth of the institution's balance sheet. The bank's positioning as a recurring issuer has been strengthened by a significant improvement in its credit profile. After six years without changes, the entity's risk ratings were upgraded to 'AA+' by S&P and JCR, while Moody's maintains a positive outlook on its 'Aa3' rating.
