International Investment Bank reaches negative rate for its long-term funding

International Investment Bank (IIB) continues the series of successful funding deals this year, reaching for the first time in its 50-year-long history a negative interest rate, by placing a floating rate note amounting to around 39 million Euro with 2-year maturity.

The deal was placed under the IIB’s recently updated MTN Programme and will be listed on Dublin Stock Exchange. ING Bank NV, IIB’s long-term partner and one of the dealers under the MTN Programme, organized the issuance.

The issuance was placed with a floating rate of 3m ROBOR + 65 bps and had been sold to four pension funds from Romania.

“Reaching a negative interest rate for our long-term funding was a long-awaited moment for us and something we had seen as a target for quite some time now. I am happy that this year we had executed already four transactions, all very different instruments and maturities but all four extremely successful, showing a gradual improvement from one deal to another,” said Nikolay Kosov, Chairperson of the Management Board of IIB.