On Wednesday 21st May 2025, the African Development Bank "AfDB" rated Aaa/AAA/AAA (all stable) by Moody's / S&P / Fitch, priced a EUR 1 billion 5-year Social Benchmark due May 2030 at Mid-Swaps +28bps, equivalent to OBL 2.4 04/30 + 37.2bps.

AfDB took advantage of the constructive market backdrop to return to the EUR market for the first time since May 2024, announcing a new EUR 5-year Global Benchmark Social Bond at 13.00 UKT on Tuesday 20th May. This transaction represents the first social bond issued in the EUR market since September 2022 and under the AfDB's Sustainable Bond Framework that was established in September 2023.

The Joint Lead Managers for the transaction were Barclays, Citi, RBC Capital Markets and UBS.

The orderbook subsequently opened on the transaction at 08.08 UKT on Wednesday morning, with a spread guidance of Mid-Swaps +30bps area.

The deal generated strong demand from the outset, with the orderbook reaching in excess of EUR 1.9 billion (incl. EUR 250 million Joint Lead Managers interest) by the time of the first book update at 10.45 UKT. In order to provide clarity to investors, AfDB set the spread at Mid-Swaps+28bps at this stage, 2bps tighter than guidance, and the final deal size at EUR 1 billion. It was also communicated that books were to close at 11.30 UKT / 12.30 CET.

The final orderbook ultimately closed in excess of EUR 2.2 billion (incl. EUR 250 million Joint Lead Managers interest), with over 45 investors participating, demonstrating the global and diverse investor support for the AfDB credit and its development mandate. The high-quality orderbook allowed the AfDB to comfortably print the EUR 1 billion size transaction.

Focus on 'Making Africa's Capital Work" - AfDB Annual Meetings

The African Development Bank Group's 2025 Annual Meetings open next week amidst shifting winds of global trade.The meetings, which will take place from May 26 to 30 in Abidjan, Côte d'Ivoire, the Bank's headquarters, will be held under the theme: "Making Africa's Capital Work Better for Africa's Development."

Forty-seven of Africa's fifty-four countries have been affected by new U.S. trade measures, with 22 facing tariffs of up to 50 percent on a wide range of exports. In the context of evolving U.S. foreign assistance priorities and reduced USAID funding, African nations are navigating a changing landscape where traditional forms of support can no longer be taken for granted.

More on AfDB's AllAfrica page.

The transaction priced at 14.09 UKT with a reoffer yield of 2.558% and a cash price of 99.731, representing a spread of 37.2bps over the OBL 2.4 04/30.

Distribution statistics

In terms of distribution by investor type, Banks / Bank Treasuries took the largest share of allocations (54.6%), supported by strong participation from Central Banks / Official Institutions (41.7%), as well as Asset Managers / Insurance / Pension Funds (3.7%).

The distribution was well diversified in terms of geography, across Nordics (24.4%), UK / Ireland (18.6%), France / Benelux (15.4%), Germany / Austria / Switzerland (10.3%), Eastern Europe (9.6%), Asia (9.5%), Other (8.1%) and Southern Europe (4.1%).

Bond Summary Terms