The World Bank

ITRODUCTION

A vital source of financial and technical

assistance to developing countries around the
world.
Made up of two unique development institutions
owned by 185 member countries
1.
2.

International Bank for Reconstruction and

Development (IBRD)
International Development Association (IDA).

ITRODUCTION Contd..
Each institution plays a different but supportive
role in the mission of global poverty reduction
and the improvement of living standards.
IBRD focuses on middle income and credit
worthy poor countries.
IDA focuses on the poorest countries in the
world.

HISTORY

The Bank came into formal existence on 27 December

1945 following international ratification of the Bretton
Woods agreements, where the United Nations
Monetary and Financial Conference that led to their
establishment took place (1 July-22 July 1944).

Commencing operations on 25 June 1946, it approved

its first loan on 9 May 1947 .

OBJECTIVES
The World Bank was created with the following
objectives:
(1) To help in the reconstruction and development of
territories of members by facilitating the investment of
capital for productive purposes .
(2) To promote private foreign investment
(3) To promote the long-range balanced growth of
international trade

OBJECTIVES
(4) To encourage loans made or guaranteed so
that the more useful and urgent projects will be
dealt with first,
(5) To conduct its operation so as to bring about a
smooth transference from a war-time to peacetime economy.

Lending Programmes
Structural

Adjustment lending
Special Action Programme
B-Loan and Export Credit

IDA
Poverty

Test
Performance Test
Project Test

OPERATIONS
Areas

of operation
Agriculture and Rural Development
Conflict and Development
Law and Justice
Macroeconomic and Economic Growth
Poverty Reduction
Environment
Health, Nutrition and Population
Industry
Water Supply and Sanitation
Information and Communication Technologies

OPERATIONS Contd..
So, where does the money come from to operate the
World Bank, and how do they use the funds to carry
out their mission?
Fund Generation

Through IRBD
Through IDA
Through repayment the loans

Loans

World Bank offer two basic types of loans and credits:

OPERATIONS

OPERATIONS

OPERATIONS

OPERATIONS

OPERATIONS

IMPACT - World on World Bank

The World Bank and its market-driven health

policies are getting the ire of health activists
and experts, who say the Banks cures are
harming the developing-country patients they
seek to help.

CRITICISM
Criticisms:
The

annual world development indicators that are

released by the World Bank are generally full of
erroneous data and even biased towards the views of the
business elites.

Lack

of Accountability

Their

policies have failed to achieve MDP.

AAPLAUDS
Applauds:
The

commitment of World Bank towards greater transparency

and removal of corruption from the Organization.

The

world has experienced the most rapid growth in all

history in the last 50 years, and this includes the Third World
as well as the industrialized countries.

The

World Bank makes the best long-term analysis and

provides a framework around which other donors can coordinate.

FUTURE DIRECTION
The Bank can further strengthen its effectiveness
in helping countries reduce poverty by:

A focus on the nature of growth.

A well-articulated results chain to achieve sectoral
outcomes.

A realistic assessment of the political economy of

governance-related reforms.

THANK YOU