The African Development Bank has raised $2.5bn through a three-year global benchmark bond issuance, attracting investor orders worth $4.8bn, nearly twice the amount offered.
The bank disclosed this in a statement published on its official website.
Priced on October 21, 2026, the bond will mature on January 18, 2030, and carries a fixed coupon rate of 4.875 per cent.
The issuance marks AfDB’s third US dollar benchmark bond sale this year, following a $1bn 10-year bond issued in January and a $2bn five-year bond launched in February.
The AfDB priced the bond at 28 basis points above the Secured Overnights Financing Rate mid-swaps, two basis points below its initial guidance of 30 basis points, reflecting strong investor demand.
The bank announced the transaction on October 20, 2026, setting initial price guidance at approximately 30 basis points above SOFR mid-swaps before tightening the spread during pricing.
The Bank subsequently tightened the bond’s spread to 28 basis points above SOFR mid-swaps, two basis points below its initial guidance. The final order book reached $4.8bn, including $50m in interest from the joint lead managers.
The bond was priced at a re-offer yield of 4.933 per cent and a price of 99.837 per cent, with a fixed coupon of 4.875 per cent payable semi-annually. Settlement is scheduled for November 2, 2026.
The issuance uses the US Treasury security maturing on October 15, 2029, as its benchmark, with the bond priced at a spread of 8.7 basis points above the reference security.
The latest dollar-denominated issuance follows the African Development Bank’s $1bn 10-year benchmark bond in January and its $2bn five-year benchmark bond issued in February 2026.
