Investors

A smart investment for a better world

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’s Sustainable Private Placements

Country Amount Year
Sweden US$ 100 million 2022
Japan US$ 50 million 2022
Germany EUR 65 million 2023
France EUR 115 million 2023
Sweden SEK 1 Billion 2024

 

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’s Sustainable Development Finance Framework lays out how proceeds are used to support 16 out of 17 Sustainable Development Goals and the types of projects they finance, in compliance with ICMA’s Sustainability Bond guidelines.

Projects types include:

  1. Restoring and maintaining natural resources.
  2. Improving agricultural production and limit post-harvest losses.
  3. Strengthening inclusive rural finance.
  4. Securing basic services such as health and housing.
  5. Improving access to markets, networks and utilities.
  6. Promoting sustainable rural transformation among policy makers and institutions.

IFAD also mainstreams the following four themes in all its projects:

  1. Enhancing rural communities’ resilience to climate change.
  2. Promoting gender equality in rural communities by empowering women.
  3. Creating employment and training opportunities for youth.
  4. Improving local food systems and raising awareness about and knowledge of nutrition.

On 21 November 2023, IFAD launched its first impact report related to the issuances of 2022:

Related documents

Related news

Asset Publisher

IFAD enters the SEK market, issuing 1 billion SEK sustainable bond to investors Skandia and Folksam

January 2024 - NEWS

IFAD issued its first SEK club deal today, a strong indication of investors’ continued interest in IFAD. The lead investor Skandia, and Folksam, bought a seven-year one billion SEK sustainable bond to support IFAD in its mission to stimulate sustainable growth and inclusive development in rural areas of developing countries. Skandia led with a 900 million SEK investment, and Folksam complemented with 100 million SEK.

IFAD lists its sustainable bonds on the London Stock Exchange - ringing the bell for rural development

November 2023 - NEWS

Private investors are a powerful force to help us fund a world where no one is left behind, said Alvaro Lario, President of IFAD at the London Stock Exchange (LSE).

Connecting global financial markets to small-scale farmers: discover the impact of IFAD first sustainable bonds

October 2023 - NEWS

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.

Related events

Asset Publisher

Related publications

Asset Publisher

IFAD Impact Report 2022

November 2023

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.

IFAD Annual Report 2022

July 2023

IFAD’s Annual Report 2022 provides milestones and highlights from IFAD’s work during 2022.

IFAD Annual Report 2021

July 2022

See how IFAD charted a new path to help build the resilience of the world’s most vulnerable people.

Related pages

Contact

Asset Publisher

Natalia Toschi, Head of Funding Unit, [email protected]

Marco Palacios, Investor relations, [email protected]  

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