INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (IBRD) & REGIONAL DEVELOPMENT BANK (RDB) FUNCTIONS OF IBRD ORGANIZATION STRUCTURE WORLD BANK GROUP ACTIVITIES BY IBRD IBRD SERVICES BIGGEST GLOBAL CHALLENGES FOR IBRD REGIONAL DEVELOPMENT BANK (RDB) OTHER FOCUS AREAS PURPOSE OF REGIONAL DEVELPOMENT BANKS AREAS OF WORK ROLE OF RDB’S IN INDIA SOME RDB PARTICIPATING BANK IN INDIA

1. INTERNATIONAL BANK FOR
RECONSTRUCTION AND DEVELOPMENT
(IBRD)
&
REGIONAL DEVELOPMENT BANK
(RDB)

2. INTRODUCTION
• Established in 1944 as the original institution of the world bank group, IBRD is structured
like a cooperative that is owned and operated for the benefit of its 188 member countries.
• The world bank is an international financial institution that provides long term capital
assistance to developing countries for capital assistance to developing countries for
capital programmers.
• IBRD is the original world bank institution. It works closely with the rest of the world bank
group to help developing countries reduce poverty, promote economic growth, and build
prosperity.
• By law, all of its decisions must be guided by a commitment to promote foreign
investment, international trade and facilitate capital investment.
• As the largest development bank in the world and part of the world bank Group, IBRD has
two main goals to end poverty by 2030 and to promote shared prosperity in a sustainable
manner. It seeks to achieve these goals primarily by providing loans, guarantees, risk
management products, and expertise on development related disciplines, as well as by
coordinating responses to regional and global challenges.

3. FUNCTIONS OF IBRD
• To assist in the reconstruction & development of its member countries.
• To promote private foreign investment.
• To promote balanced growth of international trade.
• The institutions provides a combination of financial resources, Knowledge and technical
services, and strategic advice to developing countries, including middle income and credit
worthy lower income countries.
• Support long-term human and social development that private creditors don not finance.
• To bring about a smooth transition from a war time economy to peace time economy.
• Preserves borrowers financial strength by providing support in times of crises, when poor
people are most adversely affected.
• Creates a favorable investment climate to catalyze the provision of private capital
• Facilitates access to financial markets often at more favorable terms than members can achieve
on their own.

4. ORGANIZATION STRUCTURE
President
Board of Governors
Board OF Executive Directors
Board Committee – Managing Directors
Vice President & Financial Officers
Development Committee

5. WORLD BANK GROUP
World Bank:-
• IBRD - International Bank for Reconstruction and Development
• IDA – International Development Association
Other Organizations:-
• IFC – International Finance Corporation
• MIGA – Multilateral Investment Guarantee Agency
• ICSID – International center for Settlement of investment disputes.

6. ACTIVITIES BY IBRD
• Basic education and health services
• Safety needs
• Infrastructure development
• Environment protection
• Private sector development
• Governance and investment climate
• Technical assistance

7. IBRD SERVICES
• The world bank group works with middle income countries simultaneously as clients,
shareholders, and global actors.
• IBRD is providing innovative financial solutions, including financial products (loans,
guarantees, and risk management products) and knowledge and advisory services to
governments at both the national and sub-national levels.
• IBRD financial project across all sectors and provides technical support and expertise at
various stages of a project.
• IBRD’s financial products and services help countries build flexibility to shocks by
facilitating access to product that diminish the negative impact of currency, interest rate,
and commodity price volatility, natural disasters and extreme weather.
• IBRD’s financing supplies borrowing countries with needed financing and also serves as a
vehicle for global knowledge transfer and technical assistance.

8. BIGGEST GLOBAL CHALLENGES FOR IBRD
• Population growth
• Elimination of global poverty
• Global life expectancy
• Aid to education

9. REGIONAL DEVELOPMENT BANK (RDB)
• The regional development banks (RDBs) are international institutions which were founded
in the 1959. The aim of the RDBs is to help countries promote economic growth and reduce
poverty by providing low interest loans, grants and expert advice for development projects.
• The regional development banks consist of several regional institutions that have functions
similar to the World Bank group's activities, but with particular focus on a specific region.
Shareholders usually consist of the regional countries plus the major donor countries.
• These regional banks cover regions that roughly correspond to United Nations regional
groupings, including the Inter-American Development Bank, the Asian Development Bank;
the African Development Bank; the Central American Bank for Economic Integration.
• The Islamic Development Bank is among the leading multilateral development banks. ISDB
is the only multilateral development bank after the World Bank that is global in terms of its
membership.

10. The REGIONAL DEVELOPMENT were first established in 1959 with 56 countries, the first
regional bank developed was for Latin America and Caribbean countries later it expanded
for the worldwide coverage which cover areas regionally and Established are as follows :-
• 1. Inter-American Development bank - 1959 –Washington
• 2. Central American Bank For Economic Integration - 1960 –Tegucigalpa
• 3. African Development Bank - 1964 – Abidjan
• 4. Islamic Development Bank Group – 1973 – Jeddah
• 5. Asian Development Bank – 1966 – Manila
• 6. Development Bank Of Latin America – 1970 – Caracas

11. OTHER FOCUS AREAS
• Agriculture & food security
• Climate change & disaster management
• Education
• Environment
• Finance sector
• Gender& development
• Governance & public management
• Health
• Poverty & Social development
• Sustainable development

12. PURPOSE OF REGIONAL DEVELPOMENT BANKS
• The RDBs play a vital role in poverty reduction.They focus on the Millennium
Development Goals and provide support in a wide range of areas including healthcare,
education, infrastructure, agriculture and energy.
• The RDBs are owned by member countries which include 'donor' countries and
'borrowing' countries. A key feature of the RDBs is that they are majority owned and
staffed by regional countries.This means that countries in the region have the strongest
influence over how the bank’s money would best be spent for the overall benefit of people
in the region.
• The RDBs played a crucial role during the economic downturn. By providing financial
support and increasing lending, they helped to maintain economic stability in the world’s
poorest countries.This prevented more people from falling into poverty, and enabled
these countries to continue their efforts to achieve the Millennium Development Goals.

13. AREAS OF WORK
• Infrastructure
• Energy
• Information & communications and technology
• Transport
• Urban development
• Water

14. ROLE OF RDB’S IN INDIA
• The major role of RDB for foreign trade is to provide finance to the enterprises .
• To provide better infrastructure facilities in the nation .
• Providing consultancy to business.
• So for overcoming the finance problems RDB has many banks which provide
finance to Exporter or importer easily.

15. SOME RDB PARTICIPATING BANK IN INDIA
• State Bank of India
• IDBI
• BNP Paribas (Mumbai Branch)
• Credit Agricole Corporate & Investment Bank (Mumbai Branch)
• DBS Bank Ltd (Mumbai branch)
• Deutsche Bank (Bangalore Branch)