[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-110807-en":3,"doc-seo-110807-105":29,"detail-sidebar-cat-0-en-105":90},{"code":4,"msg":5,"data":6},0,"success",{"doc_id":7,"user_id":8,"nickname":9,"user_avatar":10,"doc_module":4,"category_id":11,"category_name":12,"doc_title":13,"doc_description":14,"doc_content":15,"file_id":16,"file_url":17,"file_type":18,"file_size":19,"view_count":4,"is_deleted":4,"is_public":20,"is_downloadable":20,"audit_status":20,"page_count":21,"language":22,"language_code":23,"site_id":24,"html_lang":23,"table_of_contents":25,"faqs":26,"seo_title":13,"seo_description":14,"update_tm":27,"read_time":28},110807,1374391974468,"Eden","https://ap-avatar.wpscdn.com/davatar_29158cc5080c5b710cf443261637dec0",8,"Research & Report","IBRD Lending Rates and Spreads Applicable on or after April 1, 2021 - Rate Update Summary","Memorandum dated April 27, 2021 updates IBRD’s lending rates and spreads under standard loan pricing defined in the Bank’s Financial Terms and Conditions. The variable spreads for the IBRD Flexible Loan effective April 1 to June 30, 2021 rise by one basis point. Due to market transitions to alternative reference rates, fixed-spread offering and spread-fixing conversion are suspended from April 1, 2021. It summarizes background, reference-rate mechanics, and rate structure for IFL variable spread.","Public Disclosure Authorized Public Disclosure Authorized  \nFrom: The President April 27, 2021  \nMemorandum  \nSubject: IBRD Lending Rates and Spreads Applicable on or after April 1, 2021  \nRate Update Summary  \nThis memorandum provides the quarterly update of IBRD’s lending rates and spreads pursuant to the standard loan pricing as defined in the Bank Policy and Directive “Financial Terms and Conditions of Bank Financing”.1 The Variable Spreads applicable to the IBRD Flexible Loan (IFL) effective between April 1, 2021 and June 30, 2021 increased by one basis point (See Table 1) .  \nAs the market undergoes fundamental changes due to transitions to alternative reference rates, it is not possible to robustly project IBRD’s funding spread to the market reference rate over the lifetime of loans, which is required for the pricing of fixed spread loans (IFL Fixed Spread). On January 26, 2021, Executive Directors approved the suspension of the offering of the IFL Fixed Spread and related spread-fixing conversion feature, effective from April 1, 2021.2  \nI. Background  \nIBRD promotes poverty reduction and supports sustainable economic and institutional development of member countries by providing financing and related operational assistance through its three main financing instruments – Investment Project Financing (IPF), Development Policy Financing (DPF), and Program-forResults (PfR) .  \nIBRD offers financing of these instruments through one loan product, the IFL, to eligible members.3,4 IFLis currently available in the form of IFL Variable Spread, featuring variable spreads over the Reference Rate with a considerable choice of financial terms.  \n1 Policy “Financial Terms and Conditions of Bank Financing,” April 1, 2021, and Directive “Financial Terms and Conditions of Bank Financing,” April 1, 2021.  \n2 R2020-0243/2: “Proposal to Suspend the Offering of Fixed Spread Loans and Spread-Fixing Conversions in the Context of LIBOR Transition”, December 21, 2020.  \n3 Aside from IFLs, there are a few historic currency pool-based products, which have been discontinued but require rate resetting in IBRD’s portfolio. The only outstanding currency pool loans (CPL) with variable rate terms are the loans to Zimbabwe, which are currently in non-accrual status. There are also IFL and CPL loans whose rates are fixed for the life of the loan through conversion and hedging.  \n4 In addition, IBRD offers other financial products, including conversions and hedging products, guarantees, and disaster risk financing.  \nThe Reference Rate varies by currency and currently is 6-month LIBOR for USD, JPY and GBP and 6-month EURIBOR for EUR, subject to a replacement in certain circumstances, including the outcome of the current Interbank Offered Rates (IBOR) reform.5,6  \nThis memorandum summarizes the lending rates and spreads currently applicable to IBRD loans with rate setting between April 1, 2021 and June 30, 2021.7,8  \nII. IBRD Flexible Loan Rates and Spreads  \nMaturity Premium IBRD differentiates its loan pricing based on national income and other factors of each Borrower (see Annex 2) through the maturity premium.9 Borrowers are classified into four pricing groups, whose applicable maturity premium is differentiated by exemptions, discounts or surcharges specific to each pricing group. The classification of the member countries by pricing group is updated annually and becomes effective on July 1 of each year (see Annex 2 for FY21 Country Groups for IBRD Pricing) .  \nThe maturity premium schedule offers Borrowers the flexibility to choose a desired maturity at the differentiated pricing level.10 Table 1 provides the details of the pricing group-specific maturity premium schedule. The details of rate structure and current pricing of IFL Variable Spread are provided below in this section.  \nSingle Borrower Limit As part of the FY21 review of IBRD’s Single Borrower limit (SBL), 11 the application of IBRD’s SBL surcharge was modified. Under the modified approac","cbCaiuZ58YGIREAf","https://ap.wps.com/l/cbCaiuZ58YGIREAf","pdf",288503,1,11,"English","en",105,"# Rate Update Summary\n# I. Background\n# II. IBRD Flexible Loan Rates and Spreads","[{\"question\":\"What change in IBRD variable spreads applies from April 1, 2021 to June 30, 2021?\",\"answer\":\"The Variable Spreads applicable to the IBRD Flexible Loan (IFL) effective in that period increase by one basis point.\"},{\"question\":\"Why is it not possible to project IBRD funding spread to the market reference rate over the life of loans?\",\"answer\":\"Market transitions to alternative reference rates prevent robust projection of IBRD’s funding spread to the market reference rate throughout the loan lifetime.\"},{\"question\":\"What happened to the IFL Fixed Spread offering starting April 1, 2021?\",\"answer\":\"Executive Directors approved suspension of the IFL Fixed Spread offering and related spread-fixing conversion feature effective from April 1, 2021.\"}]",1784487190,28,{"code":4,"msg":30,"data":31},"ok",{"site_id":24,"language":23,"slug":32,"title":13,"keywords":33,"description":14,"schema_data":34,"social_meta":85,"head_meta":87,"extra_data":89,"updated_unix":27},"ibrd-lending-rates-and-spreads-applicable-on-or-after-april-1-2021-rate-update-summary","",{"@graph":35,"@context":84},[36,53,67],{"@type":37,"itemListElement":38},"BreadcrumbList",[39,43,47,50],{"item":40,"name":41,"@type":42,"position":20},"https://docshare.wps.com","Home","ListItem",{"item":44,"name":45,"@type":42,"position":46},"https://docshare.wps.com/document/","Document",2,{"item":48,"name":12,"@type":42,"position":49},"https://docshare.wps.com/document/research-report/",3,{"item":51,"name":13,"@type":42,"position":52},"https://docshare.wps.com/document/ibrd-lending-rates-and-spreads-applicable-on-or-after-april-1-2021-rate-update-summary/110807/",4,{"url":51,"name":13,"@type":54,"author":55,"headline":13,"publisher":57,"fileFormat":60,"inLanguage":23,"description":14,"dateModified":61,"datePublished":61,"encodingFormat":60,"isAccessibleForFree":62,"interactionStatistic":63},"DigitalDocument",{"name":9,"@type":56},"Person",{"url":40,"name":58,"@type":59},"DocShare","Organization","application/pdf","2026-07-19",true,{"@type":64,"interactionType":65,"userInteractionCount":4},"InteractionCounter",{"@type":66},"ViewAction",{"@type":68,"mainEntity":69},"FAQPage",[70,76,80],{"name":71,"@type":72,"acceptedAnswer":73},"What change in IBRD variable spreads applies from April 1, 2021 to June 30, 2021?","Question",{"text":74,"@type":75},"The Variable Spreads applicable to the IBRD Flexible Loan (IFL) effective in that period increase by one basis point.","Answer",{"name":77,"@type":72,"acceptedAnswer":78},"Why is it not possible to project IBRD funding spread to the market reference rate over the life of loans?",{"text":79,"@type":75},"Market transitions to alternative reference rates prevent robust projection of IBRD’s funding spread to the market reference rate throughout the loan lifetime.",{"name":81,"@type":72,"acceptedAnswer":82},"What happened to the IFL Fixed Spread offering starting April 1, 2021?",{"text":83,"@type":75},"Executive Directors approved suspension of the IFL Fixed Spread offering and related spread-fixing conversion feature effective from April 1, 2021.","https://schema.org",{"og:url":51,"og:type":86,"og:title":13,"og:site_name":58,"og:description":14},"article",{"robots":88,"canonical":51},"index,follow",{"doc_id":7,"site_id":24},{"code":4,"msg":5,"data":91},[92,96,100,104,109,114,119,122,127,130,134],{"id":20,"doc_module":4,"doc_module_name":45,"category_name":93,"show_sort_weight":94,"slug":95},"Story & Novel",90,"story-novel",{"id":46,"doc_module":4,"doc_module_name":45,"category_name":97,"show_sort_weight":98,"slug":99},"Literature",80,"literature",{"id":52,"doc_module":4,"doc_module_name":45,"category_name":101,"show_sort_weight":102,"slug":103},"Exam",70,"exam",{"id":105,"doc_module":4,"doc_module_name":45,"category_name":106,"show_sort_weight":107,"slug":108},5,"Comic",60,"comic",{"id":110,"doc_module":4,"doc_module_name":45,"category_name":111,"show_sort_weight":112,"slug":113},6,"Technology",50,"technology",{"id":115,"doc_module":4,"doc_module_name":45,"category_name":116,"show_sort_weight":117,"slug":118},7,"Healthcare",40,"healthcare",{"id":11,"doc_module":4,"doc_module_name":45,"category_name":12,"show_sort_weight":120,"slug":121},30,"research-report",{"id":123,"doc_module":4,"doc_module_name":45,"category_name":124,"show_sort_weight":125,"slug":126},9,"Religion & Spirituality",20,"religion-spirituality",{"id":125,"doc_module":4,"doc_module_name":45,"category_name":128,"show_sort_weight":125,"slug":129},"World Cup","world-cup",{"id":131,"doc_module":4,"doc_module_name":45,"category_name":132,"show_sort_weight":131,"slug":133},10,"Lifestyle","lifestyle",{"id":135,"doc_module":4,"doc_module_name":45,"category_name":136,"show_sort_weight":105,"slug":137},19,"General","general"]