World Bank commits more than $65b to end poverty by 2030
The World Bank Group says its support commitments in loans, grants, equity investments, and guarantees to its members and private businesses in 2014, amounted to $65.6 billion, compared with $57.6 billion in 2013.
Compared with $40.37 billion disbursed in 2013, $44.4 billion was disbursed in the 2014 fiscal year by the International Bank for Reconstruction and Development (IBRD), International Development Association (IDA), and the International Finance Corporation (IFC) as well as disbursements by way of Recipient Executed Trust Funds (RETF).
In its report for 2014, the World Bank attributes the $13 billion increase in commitments to its goal of ending extreme poverty by 2030 and boosting shared prosperity for the poorest 40 percent in developing countries.
Of the $65.6 billion, Sub-Saharan Africa had the highest – $16.1 billion; followed closely by South Asia, $13.6 billion; and Europe and Central Asia, $11 billion.
East Asia and the Pacific had $10 billion; Latin America and the Caribbean, $9.8 billion; while the Middle East and North Africa region had $4.8 billion.
World Bank Group President Dr Jim Yong Kim says “great progress” has been made already and with a record $52 billion in replenishment pledged by donors for the next three years, the International Development Association “will continue to make crucial investments in people.”
“The challenge is immense. To reach our end poverty goal, we have to help tens of millions of people lift themselves out of poverty each year. It is a daunting task, but if we effectively implement our strategy, we know we can achieve it”, he said.
Data from the bank also shows that it saw a significant increase in its premium income and investment income and a reduction of about $1.5 million in its administrative expenses, bringing its administrative expenses to net premium income ratio to 63 per cent, from 71 per cent in the 2013 fiscal year.
In 2011, Sub-Saharan Africa received $9.4 billion out of $57 billion that the World Bank Group committed to developing countries in the fiscal year. The region also received a high $13.85 billion in Fiscal Year 2010.
By Emmanuel Odonkor