organization that assists less-developed countries in strengthening their economies; also called World Bank. The IBRD makes loans to countries or firms for such purposes as roads, irrigation projects, and electric-generating plants.
international lending organization, popularly known as the World Bank, founded at the Bretton Woods economic conference in 1944 initially to finance the reconstruction of Europe following World War II, and more recently to provide developing countries with long-term, low-interest credit for industrial development when private financing is unavailable. The World Bank works closely with the International Monetary Fund (IMF) and currently has 184 member countries. The World Bank finances its operations through member subscriptions, sale of its own securities, and net earnings. Most World Bank loans are made at variable interest rates pegged to its current cost of funds. Member countries must also be IMF members. In recent years, the World Bank has redefined its traditional role. The bank has set aside funds for new loans, in response to the world debt crisis, and has added its guarantee to new bank loans made to less developed countries.
international bank that finances projects, mostly in developing nations; known as the World Bank. It does not compete with commercial banks, but may participate in a loan set up by a commercial bank. World Bank loans must be backed by the government in the borrowing country. The World Bank, founded in 1944, is headquartered in Washington, D.C.; it works in close conjunction with the International Monetary Fund (IMF).
organization set up by the Bretton Woods Agreement of 1944 to help finance the reconstruction of Europe and Asia after World War II. That task accomplished, the World Bank, as IBRD is known, turned to financing commercial and infrastructure projects, mostly in developing nations. It does not compete with commercial banks, but it may participate in a loan set up by a commercial bank. World Bank loans must be backed by the government in the borrowing country.
