Development Committee Endorses World Bank Group Strategy
12 October 2013: On the occasion of the World Bank-International Monetary Fund (IMF) 2013 Annual Meeting, the Development Committee, which advises the two institutions, approved a new World Bank Group Strategy. The Strategy defines how the World Bank, the International Financial Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA) should work together to deliver as ‘One World Bank Group.'
The endorsed Strategy - considered a 'repositioning of the institution' - consolidates the two goals set by the Bank Group, which are "reducing extreme poverty globally to 3% by 2030, and boosting incomes for the bottom 40% of the population in developing countries." Both goals were announced in April 2013 during the 2013 Spring Meeting.
According to World Bank President Jim Yong Kim, several actions are needed to pursue these goals more efficiently, including: selectivity regarding projects; customization of the World Bank's aid to its clients' demands; promotion of public-private partnerships; and the acceptance of 'smart risks.'
The Committee highlighted the need to focus on fragile and conflict-affected (FCS) regions, areas with the highest rates of poverty and the special challenges affecting small States. In addition, the Strategy identifies climate change as a critical threat to sustainability of poverty reduction and shared prosperity, and as such, as a priority of the World Bank Group.
Overall, the Strategy calls for a “development solutions culture embedded in widely disseminated knowledge of what works and how to deliver it.” [World Bank Press Release] [World Bank Group Strategy] [World Bank Press Release on Shared Prosperity (April 2013)] [World Bank/IMF Spring Meeting Communique] [Jim Yong Kim Speech]