2. Introduction
The World Bank, established in 1944, is
headquartered in Washington, D.C
The World Bank is a vital source of financial
and technical assistance to developing
countries around the world.
Its mission is to fight poverty with passion
and professionalism for lasting results and
to help people help themselves and their
environment by providing resources,
sharing knowledge, building capacity and
forging partnerships in the public and
private sectors.
3. Overview
The World bank is made up of two unique
development institutions owned by 186 member
countries:
the
International Bank for Reconstruction and Development (IB
and the
International Development Association (IDA).
Each institution plays a different but collaborative
role in advancing the vision of inclusive and
sustainable globalization. The IBRD aims to reduce
poverty in middle-income and creditworthy poorer
countries, while IDA focuses on the world's poorest
countries.
4. Overview
It provides low-interest loans, interest-free
credits and grants to developing countries
for various purposes that include
ii. investments in education,
iii. health,
iv. public administration,
v. infrastructure,
vi. financial and private sector development,
vii. agriculture,
viii. environmental and natural resource
management.
5. Organization
Its 186 member countries are shareholders.
The shareholders are represented by a
Board of Governors, who are the ultimate policy
makers at the World Bank.
Generally, the governors are member countries'
ministers of finance.
They meet once a year at the Annual Meetings of the
Boards of Governors.
France, Germany, Japan, U. K and the United States
are five largest shareholders
The President of the World Bank is Robert B.
Zoellick.
6. Members
Total member countries in each institution:
The International Bank for Reconstruction and
Development (IBRD): 186
The International Development Association (IDA):
169
The International Finance Corporation (IFC):182
The Multilateral Investment Guarantee Agency
(MIGA): 175
The International Centre for Settlement of Investment
Disputes (ICSID): 144
7. Operations
The World Bank's two closely affiliated
entities—the (IBRD) and the (IDA)—provide
low or no interest loans (credits) and
grants to countries that have unfavorable
or no access to international credit
markets.
It does not operate for profit. The IBRD is
market-based, and it uses its high credit
rating to pass the low interest it pays for
money on to its borrowers—developing
countries.
8. Fund Generation
IBRD lending to developing countries
is primarily financed by
selling AAA-rated bonds in the world's
financial markets. While IBRD earns a
small margin on this lending, the
greater proportion of its income
comes from lending out its own
capital.
9. Loans
Through the IBRD and IDA, we offer two
basic types of loans and credits:
investment operations: Countries use
investment operations for goods, works
and services in support of economic and
social development projects in a broad
range of economic and social sectors.
development policy operations:
Development policy operations (formerly
known as adjustment loans) provide quick-
disbursing financing to support a country’s
policy and institutional reforms.
10. Trust funds and grants
Donor governments and a broad array of private and public
institutions make deposits in Trust funds that are housed at the
World Bank.
These donor resources are leveraged for a broad range of
development initiatives, varying significantly in size and
complexity, ranging from multibillion dollar arrangements—such as
Carbon Finance; the Global Environment Facility; the Heavily
Indebted Poor Countries Initiative; and the Global Fund to Fight
AIDS, Tuberculosis, and Malaria—to much smaller and simpler
freestanding ones.
IDA grants are used to:
Relieve the debt burden of heavily indebted poor countries
Improve sanitation and water supplies
Support vaccination and immunization programs to reduce the
incidence of communicable diseases like malaria
Combat the HIV/AIDS pandemic
Support civil society organizations
Create initiatives to cut the emission of greenhouse gases
11. Analytical & advisory services:
It provides analysis, advice and information to member countries through:
economic research and data collection on broad issues such as the
environment, poverty, trade and globalization;
country-specific, non-lending activities such as economic and sector work,
where it evaluates a country's economic prospects by examining its banking
systems and financial markets, trade, infrastructure and poverty.
It draws upon the resources like wealth of contacts, knowledge, information
and experience to educate clients so they can equip themselves to solve
their development problems and promote economic growth.
Its analyses, advice and knowledge are made available to client countries,
their government and development professionals, and the public through
Poverty Assessments
Public Expenditure Reviews
Country Economic Reports
Sector Reports
Topics in Development
12. Capacity building
Another core Bank function is to increase the capabilities of our
partners, the people in developing countries, and its own staff. It
has set up linkages to knowledge-sharing networks like:
Advisory Services and Ask Us help desks make information available by
topic via telephone, fax, email and the web.
Global Development Learning Network is an extensive network of
distance learning centers that uses advanced information and
communications technologies to connect people working in
development around the world.
Knowledge for Development offers policy advice to client countries on
economic and institutional regime, education, innovation, and
information and communication technologies (ICTs)
Capacity Development Resource Center is a repository of literature,
case studies, lessons learned.
B-SPAN is an Internet-based broadcasting station. The station presents
World Bank seminars, workshops and conferences on sustainable
development and poverty reduction via streaming video.
13. Key Activities
poverty reduction and the sustainable growth in the
poorest countries, especially in Africa;
solutions to the special challenges of
post-conflict countries and fragile states;
development solutions with customized services as
well as financing for middle-income countries;
regional and global issues that cross national
borders--climate change, infectious diseases, and
trade;
greater development and opportunity in the
Arab world;
pulling together the best global knowledge to support
development.