[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-110669-en":3,"doc-seo-110669-105":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},110669,13056703019404,"Miles","https://ap-avatar.wpscdn.com/davatar_29158cc5080c5b710cf443261637dec0",8,"Research & Report","IBRD Lending Rates and Spreads Applicable on or after October 1, 2021 - Rate Update Summary","Quarterly rate update memorandum summarizing the IBRD lending rates and variable spreads applicable to IBRD loans with rate setting dates between October 1, 2021 and December 31, 2021. The update explains how IBRD’s pricing uses maturity premium by borrower income and exemptions, discounts, or surcharges across pricing groups, and describes the IFL variable spread structure over the relevant reference rate. It also outlines LIBOR transition modifications for new and existing loans and the associated replacement reference rates.","Public Disclosure Authorized Public Disclosure Authorized  \nFrom: The President October 25, 2021  \nMemorandum  \nSubject: IBRD Lending Rates and Spreads Applicable on or after October 1, 2021 Rate 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 October 1, 2021 and December 31, 2021 remain at the same level as the previous quarter (See Table 1) .  \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.2, 3 With the suspension of the offering of the IFL Fixed Spread and related spread-fixing conversion feature, effective from April 1, 2021, IFL is currently only available in the form of the IFL Variable Spread, featuring variable spreads over the Reference Rate with a considerable choice of financial terms. 4  \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 current Interbank Offered Rates (IBOR) reform.5, 6  \n1 Policy “Financial Terms and Conditions of Bank Financing,” July 1, 2021, and Directive “Financial Terms and Conditions of Bank Financing,” July 1, 2021.  \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 hedging products, guarantees, and disaster risk financing.  \n4 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.  \n5 “Proposed Modifications to the IBRD and IDA General Conditions to add flexibility in reference rate replacement provisions,” R2018-0235, October 18, 2018.  \n6 “Proposal to Manage IBOR Transition Risks in IBRD Loan and IDA Non-concessional financing Agreements Governed by General Conditions Prior to December 2018,” R2020-0029/1, March 3, 2020.  \nIn preparation for the global markets’ transition away from LIBOR, on July 22, 2021, the Executive Directors approved the following modifications to the IBRD and IDA new loan offers and timeline for existing loans’ switch-over to new market reference rates7, 8 :  \n• New Loans: new reference rates for new IFLs effective from January 1, 2022;  \n• Existing Loans  \no Variable Spread Loans: replacement of the LIBOR rates with the new reference rates for existing variable-spread loans in USD, EUR, GBP and JPY effective from January 1, 2022;  \no Fixed Spread Loans: replacement of the LIBOR rates with the new reference rates for existing fixed-spread loans for GBP, JPY and EUR effective from January 1, 2022, and for USD effective from July 1, 2023.  \nThis memorandum summarizes the lending rates and spreads currently applicable to IBRD loans with rate setting between October 1, 2021 and December 31, 2021.9, 10  \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. 11 Borrowers are classified into four pricing groups, whos","cbCaigDfzMhEJzkF","https://ap.wps.com/l/cbCaigDfzMhEJzkF","pdf",700549,1,11,"English","en",105,"# Rate Update Summary\n# Background\n# IBRD Flexible Loan Rates and Spreads\n## Maturity Premium\n## Single Borrower Limit","[{\"question\":\"What does the memorandum cover regarding IBRD lending rates and spreads?\",\"answer\":\"It summarizes the quarterly update of IBRD lending rates and spreads applicable to loans with rate setting between October 1, 2021 and December 31, 2021.\"},{\"question\":\"How is the IFL pricing structured for the variable spread loan product?\",\"answer\":\"The IFL variable spread is described as a variable spread over the applicable reference rate, with maturity premium differentiated by borrower pricing groups and their exemptions, discounts, or surcharges.\"},{\"question\":\"What changes were introduced due to the LIBOR transition?\",\"answer\":\"The document states that approved modifications set new reference rates for new IFLs and replace LIBOR rates for existing variable- and fixed-spread loans according to an effective timeline starting January 1, 2022 (and July 1, 2023 for USD fixed spread).\"}]",1784486514,28,{"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-october-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-october-1-2021-rate-update-summary/110669/",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 does the memorandum cover regarding IBRD lending rates and spreads?","Question",{"text":74,"@type":75},"It summarizes the quarterly update of IBRD lending rates and spreads applicable to loans with rate setting between October 1, 2021 and December 31, 2021.","Answer",{"name":77,"@type":72,"acceptedAnswer":78},"How is the IFL pricing structured for the variable spread loan product?",{"text":79,"@type":75},"The IFL variable spread is described as a variable spread over the applicable reference rate, with maturity premium differentiated by borrower pricing groups and their exemptions, discounts, or surcharges.",{"name":81,"@type":72,"acceptedAnswer":82},"What changes were introduced due to the LIBOR transition?",{"text":83,"@type":75},"The document states that approved modifications set new reference rates for new IFLs and replace LIBOR rates for existing variable- and fixed-spread loans according to an effective timeline starting January 1, 2022 (and July 1, 2023 for USD fixed 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