IBRD CAR 116

The World Bank has hailed the “very strong demand” for its recently completed issuance of $1.36 billion of parametric earthquake catastrophe bonds, to the benefit of Pacific Alliance member countries Chile, Colombia, Mexico and Peru, calling the transaction “historic” and highlighting some records it has set.

The World Bank supported issuance of five tranches of earthquake catastrophe bonds, for the four member nations of the Pacific Alliance trade bloc in Latin America, is now going to settle at an overall transaction size of $1.36 billion, with all tranches of notes now priced at the bottom end of already reduced guidance.

The first catastrophe bonds to benefit all four member nations of the Pacific Alliance trade bloc in Latin America is set to increase in size, as the mooted $1 billion cat bond issuance has now had its target increased to as much as $1.39 billion of earthquake risk coverage for the region.

The awaited first catastrophe bond to cover the four member nations of the Pacific Alliance trade bloc in Latin America has now been launched by the World Bank, with an offering seeking $1 billion of earthquake coverage for Chile, Colombia, Mexico and Peru, in what will be one of the largest cat bond issuances on […]