World Bank | Advanced economies pledge US11 billion in additional financing

(Washington) The World Bank (WB) will have an additional $11 billion, promised by a group of developed countries, which should enable it to provide more than $70 billion in financing over the next ten years, according to a press release published Friday by the institution.


This financing, the announcement of which comes on the last days of the spring meetings of the International Monetary Fund (IMF) and the WB which took place all week in Washington, should allow the Bank to provide additional support to States, particularly in adaptation and transition to global warming.

“The generosity of these countries is both confirmation of the progress we have already made to reform the Bank but also a sign of their shared commitment to global development,” declared WB President Ajay Banga , quoted in the press release.

A dozen countries are concerned, including Italy, France, the United States and the United Kingdom as well as Japan, which has also committed to making the first payment.

These commitments are partly made possible thanks to the portfolio guarantee platform set up at the beginning of the month by the World Bank and which aims to integrate under the same umbrella all the guarantee processes existing across the World Bank group, which also concerns the International Development Association (IDA), the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA).

This is the second major announcement from the World Bank during this week of meetings, after that, the day before, of the electrification of 250 million people in Africa by the end of the decade, for a commitment by the WB share of $15 billion.

In a separate press release, the WB also announced the launch on Friday of a collaborative co-financing platform, in partnership with all regional investment banks.

The objective of this platform will be to play the role of a one-stop shop for countries seeking financing from international financial institutions (IFIs) and thus reduce the time required for procedures before the financing becomes effective.

“By improving partnerships and promoting transparency, the platform will enable development banks, partner agencies and countries to address global challenges more efficiently and effectively,” the Bank said in its press release.


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