The World Bank is an international financial institution that provides financial and technical assistance to developing countries for development programs (e.g. bridges, roads, schools, etc.) with the stated goal of reducing poverty.
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.
1. Created as a result of the Bretton Woods Conference in 27th December, 1944.
2. The International Monetary Fund, a related institution, is the second.
3. Mission: To rebuild Europe after the Second World war.
4.Headquarters:The Headquarters of the World Bank are in Washington,DC.
Provide assistance to developing and transition countries
Promote the economic development of the world's poorer countries
Finance the poorest developing countries whose per capita GNP is less than $865 a year special financial assistance through the International Development Association (IDA)
The President of the Bank:
He is responsible for chairing the meetings of the Boards of Directors and for overall management of the Bank.
Traditionally, the Bank President has always been a US citizen nominated by the United States, the largest shareholder in the bank.
The nominee is subject to confirmation by the Board of Governors, to serve for a five-year, renewable term.
The Executive Directors :
They are the members representing the Bank's member countries, make up the Board of Directors.
They usually meet twice a week to oversee activities and the workflows.
Their duties are to check approval of loans and guarantees, new policies, the administrative budget, country assistance strategies and borrowing and financing decisions.
The Vice Presidents:
They are its principal managers.
They are in charge of regions, sectors, networks and functions.
There are 24 Vice-Presidents, three Senior Vice Presidents and two Executive Vice Presidents.
International Bank for Reconstruction and Development ( IBRD )
International Development Association ( IDA )
International Finance Corporation ( IFC )
Multilateral Investment Guarantee Agency (MIGA)
International Centre for Settlement of Investment Disputes (ICSID)
1.France was the first borrower for $250 million to finance post-war reconstruction in 1946.
2.Many developed nations who are now donors, were also borrowers, such as Austria, Australia, Denmark, Japan, Italy, Finland, and Greece.
3. Current top 7 borrowers are; Mexico, Brazil, Turkey, Pakistan, China, India and Argentina are the countries which form the top seven borrowers
The WORLD BANK….
Is the largest external funder of education
And of HIV/AIDS programs
Is a leader in the anti-corruption effort
Strongly support debt relief
Is one of the largest funders of biodiversity projects
6. Works with partners
7. Helps bring clean water, electricity and transport to the poor
8. Involves civil society in every aspect of its work
9. Helps countries emerging from conflict
10. Is responding to the voices of poor people….more
1.Build capacity within itself.
2.Upto date Infrastructure creation.
3.Development of Financial Systems
4.Combating corruption practices.
5.Emphasize on Research, Consultancy and Training programme.
IBRD - The International Bank for Reconstruction and Development .
One of the Important Institutions comprising in the World Bank.
It came into existence on December 27, 1945 following international ratification of the agreements reached at the United Nations Monetary and Financial Conference of July 1 to July 22, 1944 in Bretton Woods, New Hampshire.
All members of the IBRD are also IMF members, and vice versa.
Established in 1944 as the original institution of the World Bank Group, IBRD is structured like a cooperative that is owned and operated for the benefit of its 187 member countries.
IBRD raises most of its funds on the world's financial markets and has become one of the most established borrowers since issuing its first bond in 1947.
The strategic benefit of the World Bank is in the income that IBRD has generated over the years has allowed it to fund development activities and to ensure its financial strength, which enables it to borrow at low cost and offer clients good borrowing terms.
The IBRD was established mainly as a vehicle for reconstruction of Europe and Japan after World War II.
They had a vision to foster economic growth in developing countries in Africa, Asia and Latin America.
Originally the bank focused mainly on large-scale infrastructure projects, building highways, airports, and power plants .
As Japan and its European client countries reached the develop country stage (achieved certain levels of income per capita), the IBRD became focused entirely on developing countries.
Since the early 1990s the IBRD has also provided financing to the post-Socialist states of Eastern Europe and the republics of the former Soviet Union
World Bank's work and the positive impact of development projects in India in different fields is as follows:
Rural Roads development.
MUTP(Mumbai Urban Transport Project).
Building state highways in Andhra Pradesh.
Rural Development projects in India:
1.Employment of the poor in Tamil Nadu.
2.Reclaiming the Saline lands in Uttar Pradesh.
3.Reversing the Degradation of Natural Resources in the Lower Himalayas.
Rural Water Supply and Sanitation:
1.Bringing Water Connections to Rural households in Kerala.
Health Related Projects:
1. Elimination of Leprosy.
2. Controlling the tuberculosis.
3. Reducing the incidence of cataract by more then half.
1. Rebuilding the livelihoods of the people affected because of Tsunami.
Employment Projects in India:
1. A vibrant Small and Medium Enterprises (SME) sector is a key engine of economic growth.
2.It has the most potential to provide jobs to the large cohort of people who join the workforce each year and to the sizeable numbers that are transitioning out of agriculture.
India is looking for additional World Bank loan assistance of $5.2 billion over two years, i.e., up to June 2011.
This will be over and above the average annual IBRD loan assistance of $1.5-2 billion received by the country.
Four projects have been posed to the World Bank for the additional financing:
These are recapitalization of public sector banks and National Housing Bank ($3.4 billion)
Power Grid Corporation of India Ltd ($1 billion),
India Infrastructure Finance Company Ltd ($0.6 billion)
The small and medium enterprises financing and development project of SIDBI ($0.2 billion).