[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-111088-en":3,"doc-seo-111088-105":29,"detail-sidebar-cat-0-en-105":91},{"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":20,"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},111088,1099513958762,"Logic","https://ap-avatar.wpscdn.com/avatar/1000023916a998db790?x-image-process=image/resize,m_fixed,w_180,h_180&k=1784791008015729253",8,"Research & Report","IBRD Lending Rates and Spreads Applicable on or after January 1, 2026 - Memorandum Rate Update Summary","Quarterly update memorandum setting out IBRD’s lending rates and spreads for IFL loans with rate setting between January 1, 2026 and March 31, 2026. Summarizes average funding spreads by currency—EUR, JPY, and USD/other—and explains how reference rates are selected (SOFR, SONIA, TONA, EURIBOR). Describes the IFL variable spread structure and its components, including average funding spreads, contractual lending spreads, and how maturity premium schedules differentiate borrowers via pricing groups, exemptions, discounts, and surcharges.","Public Disclosure Authorized Public Disclosure Authorized  \nFrom: The President January 27, 2026  \nMemorandum  \nSubject: IBRD Lending Rates and Spreads Applicable on or after January 1, 2026  \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  \nThe Average Funding Spreads applicable to the IBRD Flexible Loan (IFL) effective between January 1, 2026 and March 31, 2026 have been determined based on the respective reference rates, and are as follows: (See Table 1 for details).  \n• EUR denominated loans: positive 8 bps;  \n• JPY denominated loans: negative 2 bps;  \n• loans denominated in USD and other currencies: positive 42 bps.  \nI. Background  \nIBRD offers financing through one loan product, the IFL, to eligible members.2,3 The IFL is currently available in the form of the IFL Variable Spread, featuring variable spreads over the Reference Rate.  \nIBRD currently offers IFLs with the following Reference Rates4 :  \n• USD: Secured Overnight Financing Rate (SOFR);  \n• GBP: Sterling Overnight Index Average (SONIA);  \n• JPY: Tokyo Overnight Average Rate (TONA);  \n• EUR: Euro Interbank Offered Rate (EURIBOR) .  \nThis memorandum summarizes the lending rates and spreads currently applicable to IBRD loans with rate setting between January 1, 2026 and March 31, 2026.  \n1 Policy “Financial Terms and Conditions of Bank Financing,” Catalogue No. OPS5 .09-POL.182, July 1, 2025., and Directive “Financial Terms and Conditions of Bank Financing,” Catalogue No. OPS5.09-DIR.149, July 1, 2025.  \n2 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.  \n3 In addition, IBRD offers other financial products, including conversions and risk management/hedging products, guarantees, and disaster risk financing.  \n4 “Proposed Modifications to IBRD and IDA New Loan Offers and Proposed Timeline for the Existing Loans Switchover to New Market Reference Rates in the Context of LIBOR Transition,” R2021-0129, June 23, 2021.  \nOfficial Use Only  \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.5 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 FY26 Country Groups for IBRD Pricing) .6  \nThe maturity premium schedule offers Borrowers the flexibility to choose the desired maturity at the differentiated pricing level. Table 1 provides the details of the pricing group-specific maturity premium schedule7. The details of rate structure and current pricing of the IFL Variable Spread are provided below in this section.  \nEffective December 11, 2025, the IFL is offered with the Step-up Loan (SuL) feature for eligible Investment Project Financing (IPFs) and Program-for-Results Financing (PforRs) .8 SuL has a 20-year average maturity, with up to 35 years final maturity. It provides a pricing equivalent to an 8-year Average Repayment Maturity (ARM) loan during the initial eight-year period from the project approval date (incentive period) . During the incentive period, the SuL interest will be charged at the IFL interest rate without the maturity premium for countries in Groups A through C, and with the maturity premium of 5bps for countri","cbCailRT8XldCaGy","https://ap.wps.com/l/cbCailRT8XldCaGy","pdf",336344,1,9,"English","en",105,"# Rate Update Summary\n# Background\n## IBRD Flexible Loan (IFL)\n# IBRD Flexible Loan Rates and Spreads\n## Maturity Premium and Pricing Groups\n## IFL Variable Spread Components","[{\"question\":\"What period does this memorandum cover for IBRD rate setting?\",\"answer\":\"It covers IFL loans with rate setting between January 1, 2026 and March 31, 2026.\"},{\"question\":\"What are the average funding spreads for different currency denominated loans?\",\"answer\":\"EUR-denominated loans are positive 8 bps, JPY-denominated loans are negative 2 bps, and USD/other-currency loans are positive 42 bps.\"},{\"question\":\"How is the IFL Variable Spread structured?\",\"answer\":\"It passes through IBRD’s funding cost and is composed of the reference rate (rr), the average funding spread relative to rr (afs), and the contractual lending spread (cls), which is approved and reviewed annually.\"}]",1784488531,23,{"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":86,"head_meta":88,"extra_data":90,"updated_unix":27},"ibrd-lending-rates-and-spreads-applicable-on-or-after-january-1-2026-memorandum-rate-update-summary","",{"@graph":35,"@context":85},[36,53,68],{"@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-january-1-2026-memorandum-rate-update-summary/111088/",4,{"url":51,"name":13,"@type":54,"author":55,"headline":13,"publisher":57,"fileFormat":60,"inLanguage":23,"description":14,"dateModified":61,"datePublished":62,"encodingFormat":60,"isAccessibleForFree":63,"interactionStatistic":64},"DigitalDocument",{"name":9,"@type":56},"Person",{"url":40,"name":58,"@type":59},"DocShare","Organization","application/pdf","2026-07-20","2026-07-19",true,{"@type":65,"interactionType":66,"userInteractionCount":20},"InteractionCounter",{"@type":67},"ViewAction",{"@type":69,"mainEntity":70},"FAQPage",[71,77,81],{"name":72,"@type":73,"acceptedAnswer":74},"What period does this memorandum cover for IBRD rate setting?","Question",{"text":75,"@type":76},"It covers IFL loans with rate setting between January 1, 2026 and March 31, 2026.","Answer",{"name":78,"@type":73,"acceptedAnswer":79},"What are the average funding spreads for different currency denominated loans?",{"text":80,"@type":76},"EUR-denominated loans are positive 8 bps, JPY-denominated loans are negative 2 bps, and USD/other-currency loans are positive 42 bps.",{"name":82,"@type":73,"acceptedAnswer":83},"How is the IFL Variable Spread structured?",{"text":84,"@type":76},"It passes through IBRD’s funding cost and is composed of the reference rate (rr), the average funding spread relative to rr (afs), and the contractual lending spread (cls), which is approved and reviewed 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