World Bank group (or international bank)Is the name of a multilateral credit institution, which includes several financial institutions that are closely interrelated. Improving the living standards of states that are developed with the financial support of developed countries is their common goal.
After the ratification of the Bretton Woods Agreement by the majority of the participating countries, in 1945, on December 27, the World Bank was established.
The World Bank Group began operating in 1946., 25 June. In 1947, on May 9, the first loan was issued. To resume the economy, which fell into decay after the hostilities, France received two hundred and fifty million dollars.
The World Bank Group has a taskpromote sustained economic growth, which in developing countries should lead to a reduction in poverty. All this is done through development programs and long-term financing to increase production. Structural changes will be priority for him: investment in infrastructure, health and education reform, privatization, trade liberalization. All loans given by the World Bank Group are guaranteed by the government concerned, and are provided in order to implement specific projects, except in special circumstances.
For the recipient country, the main advantagecooperation with a group of the World Bank is that other organizations give inflated interest rates on loans, and the international bank gives significantly lower interest.
IBRD, or the World Bank for Reconstruction and Developmentdevelopment, is considered the main credit institution of the World Bank, it is a specialized agency of the United Nations, an interstate investment institution. IBRD is located in Washington.
IBRD relies on the capital that was formedparticipating countries. It is able to accumulate funds of the world market and capital and issue loans to states that have limited access to this market, thus fulfilling the role of intermediary. Loans can be issued either directly to the government, or under its guarantee.
IBRD promotes human developmentcapacity building; carries out financial programs, works with the private sector, infrastructure; promotes social development and ecology; struggles with poverty, is engaged in economic management.
World banks provide financial support to states using the funds invested in them.
A different number of countries participate in fivefinancial institutions of the World Bank. One hundred and eighty-four states are participants of the International Bank for Reconstruction and Development. That is, it includes almost all countries of the world. One hundred and sixty-three states are members of the International Development Association. One hundred and seventy-five states - to the International Finance Corporation.
Russia is a participant in the World Bank Group, which has all rights, became in the year nineteen ninety-two, in June.
In order to make strategic decisions,According to the charter of the World Bank, it is necessary to have at least eighty-five percent of the votes of shareholders. The largest countries of the Interstate Bank are France, Great Britain, Germany, Japan and the United States. The framework document, used as a basis for cooperation, is updated by the World Bank Group every 3 years.
Allow the bank's programs related to the provision of loans, consulting and analytical services, this strategy helps, taking into account the specific development objectives of a certain borrowing country.
