World Bank Group financing to address development challenges reached nearly $60 billion in fiscal year 2019

World Bank Group commitments to help countries achieve better development outcomes were $59.5 billion in fiscal year 2019, which ended June 30. These investments, together with World Bank Group advisory and analytical support, help countries seek improvements in growth, jobs, poverty reduction, governance, human capital, infrastructure and debt transparency, with increased commitments related to climate and environment, improving conditions for women and girls, and helping in fragile and conflict-affected states.

“We are increasing our support for countries at lower levels of income and Fragile and Conflict-affected states,” World Bank Group President David Malpass said. “We’re increasing our lending, financing and guarantees where it will support outcomes that raise living standards in countries that need it the most. The aim is to effectively address issues central to our poverty and prosperity mission, taking account of the global slowdown in growth, the surge in debt that is not bringing true benefits, the severe deficits in clean water, electricity, health and education, the impacts of climate change, and many other challenges to achieving gains for the poor.”

Support to countries from the International Bank for Reconstruction and Development (IBRD) rose to $23.2 billion in FY19, up from $23 billion in the previous fiscal year.

Commitments from the International Development Association (IDA), which provides zero or low-interest loans and grants to the world’s 75 poorest countries, were $21.9 billion during FY19.

Together, these World Bank (IBRD and IDA) programs helped more countries come closer to achieving their development priorities. Over 60 percent of Bank operations helped address gender gaps and encouraged full incorporation of women in economies.

Over the fiscal year, 30 percent of IBRD/IDA commitments contained climate co-benefits, exceeding the Bank’s target of 28 percent by 2020. In November the institution announced a $200 billion five-year target to help countries address climate challenges, putting adaptation finance on a par with mitigation.

The International Finance Corporation (IFC) stepped up its focus on the poorest countries and fragile areas, in line with the capital increase that shareholders endorsed in April 2018. As the largest global development institution focused on the private sector, IFC creates markets and opportunities for sustainable private investment where they are needed most.

Original source: World Bank
Published on 11 July 2019