We use Cookies. Read our Terms
- News & Events
- News
- OPEC Fund raises $1 billion in the international capital market
OPEC Fund raises $1 billion in the international capital market
The OPEC Fund for International Development has priced a new $1 billion three-year public benchmark bond, its third public benchmark of 2026.
The transaction drew strong demand from investors worldwide, with a final orderbook exceeding $4.8 billion, resulting in a substantially oversubscribed trade.
Robust demand allowed the OPEC Fund to tighten pricing by 3bps from initial price thoughts, achieving a final spread of 20.5bps versus US Treasuries, the tightest level ever achieved on an OPEC Fund transaction.
More than 100 investors participated in the deal, reflecting a geographically diverse investor base: 43 percent from Europe, the Middle East and Africa, 29 percent from the Americas and 28 percent from Asia. By investor type, 54 percent were central banks and official institutions, 35 percent asset managers and 11 percent banks.
BofA Securities, Citi, Credit Agricole CIB and Goldman Sachs Bank Europe SE acted as lead managers on the transaction.
BofA Securities said the transaction attracted strong and diverse investor demand despite a volatile market backdrop, enabling the tightest spread the OPEC Fund has achieved against US Treasuries and reflecting growing recognition of the institution in international capital markets.
Citi noted the deal marks the OPEC Fund's seventh benchmark issuance since it entered international capital markets in 2023, with more than half of allocations going to central banks and official institutions and continued narrowing of the spread differential versus the highest-rated multilateral development bank peers.
Crédit Agricole CIB described the transaction as the OPEC Fund's second USD benchmark of the year, priced in a very volatile environment and drawing interest from a large and diversified client base, further cementing the OPEC Fund's position among frequent and liquid borrowers.
Goldman Sachs Bank Europe SE said the deal attracted granular and diversified investor interest, generating a strong orderbook for the OPEC Fund's third transaction of the year and reflecting the institution's continued efforts to broaden its investor base and deepen its market footprint.