International Development Association

Founded in 1960 as a division of the World Bank Group (commonly known as “The World Bank”), the International Development Organization (IDA) complements the World Bank’s original lending arm—the International Bank for Reconstruction and Development (IBRD). IDA supports a range of development activities that pave the way toward equality, economic growth, job creation, higher incomes, and better living conditions.

The IDA is one of the largest sources of assistance for the world’s 75 poorest countries and is the single largest source of donor funds for basic social services in these countries.

The IDA lends money on concessional terms. This means that IDA credits have a zero or very low interest charge and repayments are stretched over 30 to 40 years. More than half of IDA countries receive all, or half, of their IDA resources on grant terms, which carry no repayments at all. These grants are targeted to the low-income countries at higher risk of debt distress.

The IDA has historically been funded largely by contributions from the governments of its member countries. Donors meet every three years to replenish IDA resources and review its policy framework.