World Bank (WB)

• HQ – Washington
• Set up in 1944 with a charter to drive post-World War II reconstruction
• Officially known as IBRD ( International bank for reconstruction and Development)
• Provide long term soft loans to rebuild the third world (Soft loans → interest rate is very low)
• The official goal or mission of the World Bank is reduction of poverty
• Aim – Promotion of foreign investment and international trade + Facilitation of capital investment

World Bank Consists of Two Institutions viz.

• The International Bank for Reconstruction and Development (IBRD)
• The International Development Association (IDA)

World Bank Group Comprises of Five organizations viz.

• The International Bank for Reconstruction and Development (IBRD)
• The International Development Association (IDA)
• International Finance Corporation (IFC)
• Multilateral Investment Guarantee Agency (MIGA)
• International Centre for Settlement of Investment Disputes (ICSID)

Key Function Areas (Same as MDG)

• Universal Primary Education
• Gender Equality
• Reduce Child Mortality
• Improve Maternal Health
• Poverty and Hunger
• Combat HIV/AIDS, Malaria, and Other Diseases
• Ensure Environmental Sustainability
• Develop a Global Partnership for Development

Voting Power

• Voting power is based on economic size + International Development Association contributions.
• In 2010, voting powers at the World Bank were revised to increase the voice of developing countries, notably China. The countries with most voting power are:

• United States (15.85%)
• Japan (6.84%)
• China (4.42%)
• Germany (4.00%)
• United Kingdom (3.75%)
• France (3.75%)
• India (2.91%)
• Russia (2.77%), Saudi Arabia (2.77%) and Italy (2.64%)