2. WORLD BANK GROUP
The world bank is one of the world's
largest sources of funding for the
developing world.
It's primary focus is on the helping the
poorest people and the poorest countries.
It uses financial resources, it's staff and
extensive experience to help developing
countries, reduce poverty, increase
economy growth and improve the quality
3. HISTORY
The world bank is one of the two Bretton
Woods institutions which were created in
1944.
The Bretton Woods Conference was held
from the 1st to 22nd of July, 1944.
It contained 730 delegates from all 44 allied
nations.
To regulate the international monetary and
financial order after the conclusion of World
War II.
4. Two major institutions were created:
1. World Bank ( long term loan for
distressed economy and member
countries )
2. International Monetary Fund ( grants
to short term loans to develop the
cyclical disturbance in economy)
5.
6. WORLD BANK GROUP
Consist of five organization:
1. The International Bank for Reconstruction
and Development (IBRD)
2. The International Development Association
(IDA)
3. The International Finance Corporation (IFC)
4. The Multilateral Investment Guarantee
Agency (MIGA)
5. The International Centre for the Settlement
of Investment Disputes (ICSID)
7. INTERNATIONAL BANK FOR
RECONSTRUCTION AND
DEVELOPMENT
The International Bank for Reconstruction and
Development is an international financial
institution.
It was established in 1944 and headquartered in
Washington, D.C., United States.
It is a global development cooperative owned by
189 member countries.
It is the lending arm of World bank. It offers loans
to middle-income developing countries.
The IBRD is the first of the five member
8. IBRD
The initial mission of the IBRD in 1944, was
to finance the reconstruction of European
nations devastated by world war II.
As the largest development bank of the
world, it supports the World Bank groups
mission by providing loans, guarantees, risk
management product and advisory services
to middle-income and creditworthy low
income countries, as well as by
coordinating responses to regional and
9. OBJECTIVES
1. To help in the reconstruction and development
of member countries by facilitating the
investment of capital for production purposes,
including the restoration and reconstruction of
economies devastated by war.
2. To encourage the development of productive
resources in developing countries by supplying
them investment capital.
3. To promote private foreign investment through
guarantees and participation in loans and other
investment made by private investors.
10. OBJECTIVES
4. To supplement private foreign investment by
direct loans out of its own capital for productive
purpose.
5. To promote long term balances growth of
international trade and maintenance of
equilibrium in balance of payment by
encouraging long term international
investment.
6. To bring about an easy transition from a war
economy to peace time economy.
7. To help in raising productivity, the standard of
11. FUNCTIONS
It assists in reconstruction and development of its
member countries.
It promotes private foreign investment by means of
guarantees of participation in loans and other
investment made by private investors.
To promote long term balances growth of
international trade and maintenance of equilibrium
in balance of payment by encouraging long term
international investment.
To arrange loans made guaranteed by it in relation
to international loans through other channels so that
more useful projects, large and small alike, will be
dealt with first.
12. It creates a favorable investment climates to
catalyze the provision of private capital.
It facilitates access to financial markets often at
more favorable terms than members can
achieve on their own.
13. MEMBERSHIP ELIGIBILITY
All countries which are the members of IMF are
the members of World bank.
A country holding the membership of the bank
must subscribe to the charter of the bank.
If a country resigns its membership, it is required
to payback all loans granted to it through interest
on due date.
The members subscription also measures roughly
its voting power, but again the smaller nations
have a slightly higher rate.
14. CAPITAL & ORGANIZATIONAL
STRUCTURE
The IBRD was started with an authorized capital
of $ 10 billion divided into 1,00,000 shares of
$1,00,000 of this $9400 million was actually
subscribed.
The authorized capital of the bank has been
increased from time to time with the approval of
member countries.
The organization of the bank consists of the
president, Board of governors, Board of
executive directors, the advisory and loan
committee and other staff members.
15. Member countries repay the
share amount to the bank in the
following ways:
2% of allocated shares are repaid in gold, US
dollar or Special Drawing Rights(SDR)
Every member country is free to repay 18% of
its capital share in its own currency
The remaining 80% share deposited by the
member country only on demand by bank.
16. ACTIVITIES
Basic education and health
services
Safety needs
Infrastructure development
Environment protection
Private sector development
Governance and investment
climate
17. UNDERTAKEN PROJECTS IN
INDIA
Uttarakhand Disaster Recovery Projects
Rajasthan Road Sector Modernization Project
National Highways Interconnectivity
Improvement projects
