AfDB Issues GBP 500 Million Benchmark Bond Due February 2028
AfDB issues £500M 3-year GBP bond at 4.625%, marking its first 2025 benchmark and strong UK investor demand.

The African Development Bank has launched and priced a new GBP 500 million 3-year Benchmark transaction due February 1st, 2028. The bond pays a coupon of 4.625% with a re-offer yield of 4.704% and a reoffer price of 99.778%.
The new 3-year GBP transaction marks AfDB’s first Benchmark issuance in 2025 and successful return to the GBP market since 2023.
Deal Overview:
- On Tuesday, 14th January 2025, at 09.50 CET, AfDB announced a mandate for a new GBP 3-year benchmark with guidance at SONIA MS+34bps area
- At 11.39 CET, with books above £425 million (excluding JLM interest), the issuer set the spread at SONIA MS+34bps with books scheduled to close at 12:45 CET
- Final books closed in excess of £535m (including £25m JLM interest), and the transaction was later priced at 14.10 CET, with a reoffer price of 99.778%, reoffer yield of 4.704%, and an equivalent UK Treasury spread of + 35.5bps
- In terms of investor types, the transaction received support from high-quality investors led by the Bank Treasury community. 90% of the orderbook was allocated to Banks, 6% to Asset Managers, and 4% to Central Banks / Official Institutions
- In terms of geographical distribution, the UK represented 98% of the transaction with 2% to EMEA
- This transaction marks AfDB’s successful return to the GBP market since 2023, extending its GBP curve with smooth execution and resulting in a high-quality order book