World Bank

The World Bank is an international financial institution that provides loans and grants to the governments of low and middle-income countries for the purpose of pursuing capital projects. It was established in 1944 with the goal of reducing global poverty and promoting shared prosperity. Headquartered in Washington, D.C., the World Bank consists of five institutions, with the two main ones being the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA).

The IBRD lends to middle-income countries and creditworthy low-income countries, while the IDA focuses on the poorest nations, offering concessional loans and grants with favorable terms. Together, these institutions work to foster sustainable development by financing infrastructure projects such as roads, schools, healthcare systems, and energy facilities, which are crucial for economic growth.

The World Bank plays a significant role in shaping global economic policies and addressing issues such as education, healthcare, climate change, and gender equality. It provides both financial resources and technical expertise to help countries achieve development goals and improve living standards. Through its projects, the World Bank also helps build capacity, strengthens institutions, and supports the long-term development of local economies.

In addition to its core lending functions, the World Bank acts as a knowledge hub, providing research and data to help policymakers make informed decisions. It works in partnership with other international organizations, governments, and private sector entities to promote development and tackle global challenges. The institution has made considerable strides in reducing poverty worldwide, yet it continues to face challenges such as inequality, climate change, and conflicts that require ongoing attention and innovation in its approach to global development.