Reviewed by Feb 19, 2021| Updated on
The World Bank is an international financial institution providing loans and grants to governments of poorer countries to pursue capital projects. It comprises two institutions, one is the International Bank for Reconstruction and Development (IBRD), and the other one is the International Association for Development (IDA). World Bank is a World Bank Group member.
The new stated objective of the World Bank is poverty reduction. As of November 2018, the largest beneficiaries of loans from the World Bank were India ($859 million in 2018) and China ($370 million in 2018), through IBRD loans.
The World Bank Group consists of five international organizations as follows: - International Bank for Reconstruction and Development (IBRD) - International Development Association (IDA) - Multilateral Investment Guarantee Agency (MIGA) - Multilateral Investment Guarantee Agency (MIGA) - International Finance Corporation (IFC) - International Centre for Settlement of Investment Disputes (ICSID)
The World Bank loans India around US$ 27.1 million, making it the largest IBRD support country. The World Bank Group launched a new partnership with India in September 2018. The relationship promotes an effective and sustainable direction of development and fosters innovation in order to create new employment opportunities and human capital investment. It is rooted in the United Nations Sustainable Development Goals and focuses on improving structures of the public sector so as to create strong governance. The World Bank-India country partnership project is the World Bank Group’s largest country partnership framework, which facilitates India’s transition to a middle-income country.
The Indian Government with the support of world bank executed the programmes like - Sarva Shiksha Abhiyan (SSA) to provide elementary education. - The Pradhan Mantri Gram Sadak Yojana Project to connect unconnected habitations with all-weather roads. - The Uttarakhand Health Systems Development Project (UKHSDP) to support Uttarakhand in improving access to quality health services. - The Tamil Nadu Health System Reform Program to improve healthcare sector effectiveness and efficiency in providing aid to many of the poor and underrepresented groups.