3. Who Runs the World Bank?
Robert Zoellick has been President of the World Bank
since 2007.
Zoellick got his start working for President Ronald
Reagan's Treasury Secretary, James Baker. Zoellick also
worked in executive positions in Fannie Mae (1993-
1997), the Office of Trade Representative (2001-2005),
the State Department (2005-2006) and Goldman Sachs
(2006-2007)
5. World Bank is a United Nations international financial institution that
provides loans to developing countries.
The World Bank is a component of the World Bank Group.
Member of the United Nations Development Group.
The World Bank's official goal is the reduction of poverty.
INTRODUCTION
6. INTRODUCTION
World Bank established in 1944
A family of five international organizations that make World Bank:
1. International Bank for Reconstruction and Development (IBRD)
2. International Development Association (IDA)
3. International Finance Corporation (IFC)
4. Multilateral Investment Guarantee Agency (MIGA)
5. International Centre for Settlement of Investment Disputes (ICSID)
7. CONTINUE
Since World Bank has lent and given grants and credits worth $400 billion.
Its money is spent on specific projects such as freeways and dams.
World bank also employs economists and policy people to tackle the causes
of poverty in the poorest nations.
8. Continue
The World Bank is not actually a bank in the common
sense. Instead, it consists of two development
institutions -- the International Bank for Reconstruction
and Development (IBRD) and the International
Development Association (IDA)-- owned by 186 member
countries.
9.
10. CONTINUE
In world Bank there are 25 members of Board of
Directors.
Five of whom represent major contributors France,
Germany, Japan, the UK and the U.S.
while the other countries are represented by the
remaining 20 directors.
11. Continue
The Bank has more than 10,000 employees from over
160 countries.
Two-thirds work in Washington, DC, with the rest
stationed in 100 country offices in the developing
world.
12. Vision & mission of the World Bank
The World Bank provides low-interest loans, interest-
free credits and grants to developing countries.
The World Bank loans are usually to invest in education,
health, and infrastructure.
The loans can also be used to modernize a country's
financial sector, agriculture, and natural resources
management.
13. International Bank forReconstruction and Development
IBRD logo
Formation 1945
Type Development finance institution
Legal status Treaty
Purpose Development assistance,Poverty
reduction
Headquarters Washington, D.C., United States
Membership 188 countries
President of the World Bank Jim Yong Kim
Parent organization World Bank Group
Website worldbank.org/ibrd
14. International Development Association
IDA logo
Formation 1960
Type Development finance
institution
Legal status Treaty
Purpose Development
assistance,Poverty
reduction
Headquarters Washington, D.C
Membership 172 countries
President of the World
Bank
Jim Yong Kim
Parent organization World Bank Group
Website worldbank.org/ida
15. International Finance Corporation
IFC logo
Formation July 24, 1956
Type Development finance institution
Legal status Treaty
Purpose Private sector
development,Poverty reduction
Headquarters Washington, D.C.
Membership 184 countries
Executive Vice President & CEO Jin-Yong Cai
Parent organization World Bank Group
Website ifc.org
16. Multilateral Investment Guarantee Agency
MIGA logo
Formation 1988
Type Development finance institution
Legal status Treaty
Purpose Political risk insurance, foreign
direct investment
Headquarters Washington, D.C.
Membership 181 countries
Executive Vice President Keiko Honda
Parent organization World Bank Group
Website miga.org
17. International Centre forSettlement of Investment
Disputes
ICSID logo
Formation 1966
Type Dispute resolution
organization
Legal status Treaty
Purpose International arbitration
Headquarters Washington, D.C.
Membership 159 countries
Secretary-General Meg Kinnear
Parent organization World Bank Group
Website icsid.worldbank.org
18. Capital Resources of World Bank:
The initial authorized capital of the World Bank was $
10,000 million,
On June 30, 1996, the authorized capital of the Bank was
$ 188 billion out of which $ 180.6 billion (96% of total
authorized capital) was issued to member countries in the
form of shares.
19. Continue
Member countries repay the share amount to the World
Bank in the following ways:
2% of allotted share are repaid in gold, US dollar or
Special Drawing Rights (SDR).
Every member country is free to repay 18% of its capital
share in its own currency.
The remaining 80% share deposited by the member
country only on demand by the World Bank.
21. WORLD BANK LOANS DISTRIBUTION
WORLD’S BANK TOP 7 BORROWERS
1 MEXICO
2 BRAZIL
3 TURKEY
4 PAKISTAN
5 CHINA
6 INDIA
7 ARGENTINA
22. REGIONAL DISTRIBUTION OF WORLD BANK
LATIN AMERICA &THE
CARIBBEAN REGION
$5.9 BILLION/26% OF THE
TOTAL LENDING
SOUTH ASIA ACCOUNTED 16%OF ALL LOANS, GRANTS
AND CREDITS
EUROPE & CENTRAL ASIA 17% WITH $4 BILLION
SOUTH ASIA 16% WITH $3.8 BILLION
EAST ASIA & THE PACIFIC 14% WITH $3.4 BILLION
MIDDLE EAST & NORTH AFRICA
REGION
7% WITH $1.7 BILLION
23. Functions of World Bank:
World Bank provides various technical services to the
member countries. For this purpose, the Bank has
established “The Economic Development Institute” and a
Staff College in Washington.
Bank can grant loans to a member country up to 20% of its
share in the paid-up capital.
The quantities of loans, interest rate and terms and
conditions are determined by the Bank itself.
24. Continue:
Generally, Bank grants loans for a particular project duly
submitted to the Bank by the member country.
The debtor nation has to repay either in reserve
currencies or in the currency in which the loan was
sanctioned.
25. Continue:
Bank also provides loan to private investors belonging to
member countries on its own guarantee, but for this loan
private investors have to seek prior permission from those
counties where this amount will be collected.
26. Role of world bank in International
Business :
The distinguishing feature of the World Bank work on
international trade is that it is an integral part of the
Bank’s work on development and poverty reduction.
poverty reduction and provides technical assistance or
policy advice to the governments towards an open trade
regime.
27. Continue
The Bank has also contributed significantly to the
development of techniques and policy tools for
analyzing the impact of trade policy reforms.
World Bank through policy-based loans has supported
trade reforms in many developing countries, such as
reduction of tariffs, elimination of quantitative
restrictions or improvement of foreign exchange
systems, etc.
28. Continue
The continued engagement and resulting core of
expertise in research and policy analysis helped to
under in the significant expansion of trade-related
activities that began in 2002.
The latter involves identifying emerging or neglected
issues that are important for developing countries.
29. A major function of the research program is to address
trade issues that are of global importance - such as the
WTO and the design/impact of regional integration
agreements on both members and excluded countries.
World Bank supports two broad goals in South East
Europe: (i) poverty reduction and (ii) economic and
social development,
Continue
30. Continue
World Bank has been supporting the region through
wide range of development projects, collectively
amounting to approximately US $5.9 billion.
These projects are directed towards a number of
sectors, including: infrastructure and energy, private
sector development, poverty reduction and economic
management, social sectors, rural development and the
environment.
31. Objectives of world Bank:
To provide long-run capital to member countries for
economic reconstruction and development.
To induce long-run capital investment for assuring Balance
of Payments (Bop) equilibrium and balanced development
of international trade.
32. Continue:
To provide guarantee for loans granted to small and large
units and other projects of member countries.
To ensure the implementation of development projects so
as to bring about a smooth transference from a war-time
to peace economy.
33. Continue :
To provide guarantee on private loans or capital
investment.
If private capital is not available even after providing
guarantee, then IBRD provides loans for productive
activities on considerate conditions.
34. The International Monetary Fund and the
World Bank at a Glance
International Monetary Fund World Bank
• oversees the international
monetary system
• seeks to promote the economic
development of the world's poorer
countries
• promotes exchange stability and
orderly exchange relations among
its member countries
• assists developing countries
through long-term financing of
development projects and
programs
• assists all members--both
industrial and developing
countries--that find themselves in
temporary balance of payments
difficulties by providing short- to
medium-term credits
• provides to the poorest developing
countries whose per capita GNP is
less than $865 a year special
financial assistance through the
International Development
Association (IDA)
35. The International Monetary Fund and the
World Bank at a Glance cont.
International Monetary Fund World Bank
• supplements the currency reserves
of its members through the
allocation of SDRs (special drawing
rights); to date SDR 21.4 billion
has been issued to member
countries in proportion to their
quotas
• encourages private enterprises in
developing countries through its
affiliate, the International Finance
Corporation (IFC)
• draws its financial resources
principally from the quota
subscriptions of its member
countries
• acquires most of its financial
resources by borrowing on the
international bond market
• has at its disposal fully paid-in
quotas now totaling SDR 145 billion
(about $215 billion)
• has an authorized capital of $184
billion, of which members pay in
about 10 percent
• has a staff of 2,300 drawn from
182 member countries
• has a staff of 7,000 drawn from
180 member countries
36.
37. sustaining high and broad based growth, and
improving competitiveness
improving governance
improving lives and protecting the vulnerable
The world bank provides for infrastructure projects
and loans to countries like Pakistan
Main role of the world bank in Pakistan
38. FEDERAL LEVEL….
THE WORLD BANK SUPPORT
ENCOURAGING GROWTH
Last week, Pakistan has signed with the World Bank the
Second Fiscally Sustainable and Inclusive Growth Development
Policy Credit of $500m to support its efforts to reinvigorate
growth and stabilize the economy.
EMPLOYEMENT GENERATION
there are many project that are started in the Pakistan that
generate a lot of employment.
39. PROVINCIAL LEVEL:
The world bank take the following at the provincial
level
TO PUNJAB KPK SIND AND BOLOCHISTAN TO HELP
IMPROVE
IRRIGATION
EDUCATION
HUMAN DEVELOPMENT
40. World bank and Pakistan
Providing assistance to Pakistan in various fields…
Education
The education policy package the Bank is supporting at the provincial
and local level focuses on free tuition and books, upgrading school facilities,
contract teacher recruitment to fill vacancies, public funding of non-
government – independent, low-cost private –education, eventually through
grade ten. Credits totaling $300 million from the World Bank’s give to
education department.
Banking
At the time of the need of any financial crices the bank take the
Loan from the world bank.
41. Agriculture
WASHINGTON, March 20, 2015 ─ The World Bank today approved US$187
million for a Sindh Irrigated Agricultural Productivity Enhancement Project
(SIAPEP) to help improve irrigation water management at tertiary and field
levels in Sindh.
Macroeconomic Stability and Government
Effectiveness:
The DP-II is meant to boost economic growth through fostering
private and financial sector development, and mobilizing revenue
while expanding fiscal space to meet social needs.
Continue:
42. Energy problems
A $1.0 billion loan was approved for energy and
revenue support during the current financial
year
provides the poor greater access to health care
Improve conditions of women in Pakistan.
Continue:
43. The World Bank is the main financer of Pakistan’s Poverty Alleviation Fund, which
provides assistance to poor communities throughout the country. The Fund has been
working with nearly 40 local organizations and has extended micro-credit loans to
more than 275 thousand borrowers, of which 45 percent are women.
Poverty:
Continue:
Technical Assistance
The world bank also made a lot of the investment to the Pakistan for the
technical Assistance.
44.
45. Significance of the topic “Role of World Bank
towards Developing economics in Pakistan:
The significance of the topic is because
Pakistan is a Developing Economy
There are several development projects which
are financially supported by world bank
Active projects 47
Closed projects 275
Dropped projects 32
Projects in Pipeline 7
46. Sindh Global Partnership for Education
Project
Project ID P146451
Country Pakistan
Region South Asia
Status Active
Approval Date (as of board
presentation)
April 2, 2015
Closing Date September 29, 2017
Total Project Cost**
US$ 8293.40 million
Total project cost includes funding from World Bank
47. PK Sindh Public Sector Management
Reform Project
Project ID P145617
Country Pakistan
Region South Asia
Status Active
Approval Date (as of board
presentation)
January 28, 2015
Closing Date August 31, 2020
Total Project Cost** US$ 282.00 million
Total project cost includes funding from World Bank
48. PK-Sindh Barrages Improvement Phase I Project
Project ID P131324
Country Pakistan
Region South Asia
Status Active
Approval Date (as of board
presentation)
June 19, 2015
Closing Date December 22, 2020
Total Project Cost**
US$ 208.00 million
Total project cost includes funding from World Bank
49. PK: Sindh Agricultural Growth Project
July 08, 2014 - The World Bank’s Board of Executive Directors approved
on Monday the Sindh Agricultural Growth Project in the amount of US$ 76.4
million. The project aims to improve the productivity and market access of
small and medium producers in important commodity value chains. The
project would benefit approximately 112,000 farmers covering over 66,000
hectares.
Continue:
50. Enhanced Nutrition for Mothers and Children
The world bank give a lot amount to the
enhancement the nutrition for the mother And the
children at Pakistan and international level
51. Competitive Industries Project for Khyber Pakhtunkhwa
Grant Amount: US$ 9.0 million Project Effectiveness
Date: August 2013 Project Closing Date: June 30,
2015 The Project Management Unit (PMU) has signed a
contract worth US$ 3.1 million for the procurement of
excavators for the machinery pool.
52. Remaining project
Pakistan: Punjab Public Management Reform Program
Dasu Hydropower Stage I Project
IDA Partial Credit Guarantee for Dasu
Tarbela Fourth Extension Hydropower Project
MDTF KP Emergency Roads Recovery Project
MDTF KP Emergency Roads Recovery Project
Punjab Health Sector Reform Project
TO HELP PAKISTAN FIGHT AGAINST POLIO:
53. Pakistan: Punjab Public Management Reform Program
50.0
Project ID P132234
Country Pakistan
Region South Asia
Status Active
Approval Date (as of
board presentation)
November 14, 2013
Closing Date
December 31, 2018
Total Project Cost**
US$ 50.00 million
Total project cost includes funding from World Bank
54. 47 Active Projects and commitment Amounts
in U.S. million $ for Pakistan year 2013-14
Dasu Hydropower Stage I Project
Project ID P121507
Country Pakistan
Region South Asia
Status Active
Approval Date (as of board presentation)
June 10, 2014
Closing Date June 30, 2022
Total Project Cost**
US$ 3787.70 million
Commitment Amount
US$ 588.40 million
Total project cost includes funding from World Bank
55. IDA Partial Credit Guarantee for Dasu
Project ID P150756
Country Pakistan
Region South Asia
Status Active
Approval Date (as of board
presentation)
June 10, 2014
Closing Date N/A
Total Project Cost**
US$ 460.00 million
Total project cost includes funding from World Ban
56. Tarbela Fourth Extension Hydropower Project
Project ID P115893
Country Pakistan
Region South Asia
Status Active
Approval Date (as of board
presentation)
March 20, 2012
Closing Date
December 31, 2018
Total Project Cost**
US$ 914.00 million
Total project cost includes funding from World Bank
57. MDTF KP Emergency Roads Recovery Project
Continue:
Project ID P149311
Country Pakistan
Region South Asia
Status Active
Approval Date (as of board
presentation)
April 21, 2014
Closing Date October 31, 2015
Total Project Cost** US$ 9.00 million
Total project cost includes funding from World Bank
58. MDTF KP Emergency Roads Recovery
Project
Project ID P125584
Country Pakistan
Region South Asia
Status Closed
Approval Date (as of
board presentation)
July 16, 2011
Closing Date
June 30, 2015
Total Project Cost**
US$ 8.00 million
Total project cost includes funding from World Ban
59. Punjab Health Sector Reform Project
Project ID P123394
Country Pakistan
Region South Asia
Status Active
Approval Date (as of board
presentation)
May 31, 2013
Closing Date December 31, 2017
Total Project Cost** US$ 1116.50 million
Total project cost includes funding from World Ban
60.
61. TO HELP PAKISTAN FIGHT AGAINST POLIO:
THEY APPROVED 2 PROJECTS
TO PURCHASE A POLIO VACINE
62. It was started to reduce poverty but it support United States’
business interests.
It is an instrument for the promotion of U.S. or Western interests.
The decision-making structure is undemocratic.
Developing Countries still Developing. Why?
CRITICISM
63. Where as Pakistan is gifted with multiple resources,
capabilities and strength
Pakistan must do development projects on its own financial resources.
On the other side Pakistan must fill up loop wholes in its govt. administrative
institutions and bureaucracy.
Increase, improve and implement on direct tax collection system.
To finish imbalancement of between imports and exports
Recommendations