The objective of IFAD’s funding programme is to secure the resources needed to make a difference in rural people’s lives, as described in IFAD’s Sustainable Development Finance Framework. At the same time, IFAD aims to optimize its borrowing cost over the medium- to long-term.
IFAD bonds provide investors with a high-quality asset and a unique chance to contribute to the 2030 Agenda, in particular zero poverty and zero hunger. The proceeds of loans and bonds will be used for IFAD-supported projects in 93 member countries across five regions, with the largest part of its loan portfolio in Africa.
IFAD is committed to crowding in resources to support its efforts to eradicate hunger and poverty in rural areas. Through the Integrated Borrowing Framework, IFAD collaborates with sovereign states, sovereign agencies and private institutional investors who support its mandate.
Our AA+ credit rating from both S&P and Fitch was obtained thanks to our strong capital structure, preferred creditor treatment, rigorous risk management and high liquidity.
IFAD issues private placements in a range of currencies and maturities. By investing in IFAD, investors have a unique chance to contribute to the 2030 Agenda through a high-quality and highly-rated investment.
IFAD multiplies its impact by mobilizing additional resources. For each US dollar financed, IFAD mobilizes US$1.4 dollars from other sources, most importantly from the governments themselves and from other development partners.
IFAD will present to an audience of investors how the proceeds of its first sustainable bonds have been invested and how the investments are improving the lives and livelihoods of hundreds of thousands of small-scale farmers.
With its first Impact Report – which is aligned with ICMA’s Harmonised Framework for Impact Reporting for Social Bonds – IFAD demonstrates how the proceeds of private placement issuances have been invested in rural people, in particular smallholder farmers who are key to global food security and account for the majority of food production in some regions.