The World Bank comprises two institutions managed by 188 member countries: the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA)
The World Bank:
Assistance from the IMF or World Bank might be accompanied by a Structural Adjustment Program (SAP). The country receiving assistance might be required to orientate its economy more towards the free market, reduce trade barriers and corruption. Developing countries and newly emerging countries complain about their lack of influence in the World Bank. In 2014 Brazil, Russia, India, China and South Africa – struck an agreement this month to establish a development bank with an initial capital of $100bn. The Brics want the bank to mobilise resources for infrastructure and sustainable development projects.
The overall performance of developing countries during the past two decades has been positive, with major gains in economic growth and poverty reduction globally. Champions of the Millennium Development Goals (MDGs) eagerly welcomed the success of the poverty goal five years ahead of schedule in 2010, and the pace of poverty reduction (by current measures) has been so robust that the World Bank has set the effective elimination of extreme poverty by 2030 as one of its twin institutional goals.
The BRICS Development Bank (2014)
Recent developments have led some economists to challenge the future for the World Bank
One factor is the opening up of new sources of finance for lower-income and middle-income developing countries. These include:
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