This review considered the effectiveness of the Department of International Development (DFID)’s engagement with the World Bank and its influence on the Bank’s activities, in order to maximise impact for intended beneficiaries and value for money for the UK taxpayer.
The World Bank comprises the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA). Over the five years prior to this review, DFID contributed £5.1 billion to IBRD and IDA. Almost 60% went into the main IDA fund, where money is lent to countries based on their needs and priorities. The remainder went into trust funds, where money is granted for specific projects; the UK has been the largest contributor to World Bank trust funds over these five years.
This review concentrates on IDA and trust funds, to which the UK government makes cash contributions, rather than on IBRD, which raises the funds for its lending by issuing bonds on capital markets.