The world bank is internationally recognized and supported that provides technical and financial assistance to many developing countries in the world. Also, it aids their advancement, in an economy with a primary goal of reducing poverty. World bank has the largest knowledge of developing countries. Also, they are the largest source when it comes to funding.
Facts about the World Bank
There are some of the facts that you should know about world bank for the preparation of your competitive exams. They are:
- Jim Yong Kim is currently the president of the world bank.
- Currently, the membership of the world bank is given to 189 countries under IBRD and 173 countries under IDA.
- Organizations like MIGA, IFC, and ICSID manages the World bank
- Also, the world has it’s headquarters situated in Washington DC and has more than 10000 staff all over the world.
- So, the formation of world bank was done Bretton Woods committee that was held in 1944.
- Alongside the IMF, it was launched in the presence of many important delegates.
Browse more Topics under International Financial Organisation
- International Monetary Fund
- World Trade Organisations
- International Financial Organisations
- Trade Bank
Know about International Financial Organizations
Functions of the World Bank
- It helps the war-devasted countries by granting them loans for reconstruction.
- Thus, they provide extensive experience and the financial resources of the bank help the poor countries increase their economic growth, reducing poverty and a better standard of living.
- Also, it helps the underdeveloped countries by granting development loans.
- So, it also provides loans to various governments for irrigation, agriculture, water supply, health, education, etc.
- It promotes foreign investments to other organizations by guaranteeing the loans.
- Also, the world bank provides economic, monetary, and technical advice to the member countries for any of their projects.
- Thus, it encourages the development of of-industries in underdeveloped countries by introducing the various economic reforms.
Objectives of the World Bank
- This includes providing long term capital to its member nations for economic development and reconstruction.
- Thus, it helps in inducing long term capital for improving the balance of payments and thereby balancing international trade.
- Also, it helps by providing guarantees against loads granted to large and small units and other projects for the member nations.
- So, it ensures that the development projects are implemented. Thus, it brings a sense of transparency for a nation from war-time to a peaceful economy.
- Also, it promotes the capital investment for member nations by providing a guarantee for capital investment and loans.
- So, if the capital investment is not available than it provides the guarantee and then IBRD provides loans for promotional activities on specific conditions.
Learn more about World Organisations here in detail
Purposes of the World Bank
- It wants to create an environment that is a pro-investment.
- Also, it wants to improve the omic stability by reducing poverty.
- So, it is working towards achieving sustainable growth.
- Increasing the opportunities for jobs and business in member nations which are underdeveloped.
- Through investment, it plans to promote the socio-economic status of the society.
- Also, it wants to ensure that the judicial and legal systems are developed and individual rights are protected.
- Strengthing the government of its member nations by promoting education.
- Combating corruption and to ensure that there are adequate training opportunities and research facilities.
- It wants to provide loans with low-interest rates and interest-free credits.
What is the International Monetary Fund
Practice Questions on World Bank
Q. How many members are in the IBRD, currently?
A. 189 B. 198 C. 193 D. 206
Answer: A. 189
Q. Who holds a presidential post in the world bank group?
A. Christine Lagarde B. Roberto Azevedo C. Jim Yong Kim D. None of the above
Answer: C. Jim Yong Kim