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Indian Economy / International Organizations

World Bank Group of Institutions


    A group of 5 organizations constitute the World Bank Group. They are International Bank for Reconstruction and Development ( IBRD ), International Finance Corporation ( IFC ), International Development Association ( IDA ), International Centre for Settlement of Investment Disputes ( ICSID ) and Multilateral Investment Guarantee Agency ( MIGA ).

    • International Bank for Reconstruction and Development -
      • It was founded in the year 1944 by the delegates at the Bretton Woods Conference
      • It is the main lending organization for developing nations with relatively high per capita income
      • It lends money for building highways, irrigation projects, structural adjustment loan ( SAL ), etc.
    • International Finance Corporation -
      • It was established in the year of 1956
      • It helps to strengthen the private sector in the developing countries by extending long term loans, equity investment, etc.
    • International Development Association -
      • It was instituted in the year 1960
      • It provides the required financial assistance on concessional terms to the poor economies which cannot borrow from IBRD
      • IDA loans are known as Credit ( Small loans )
    • International Centre for Settlement of Investment Disputes -
      • It was established in the year 1966
      • It provides cooperation and arbitration between Governments and foreign investors
      • It carries out research and produces publications in the area of foreign investment law.
    • Multilateral Investment Guarantee Agency -
      • It was instituted in the year of 1988
      • It helps the developing countries in attracting the foreign investment
      • It provides investment guarantee against risks