What Is the World Bank?

The World Bank is a financial institution that provides loans and grants to governments around the world. Specifically, they help countries with capital projects. They help governments finance infrastructure, education, health care, and more. There are several different types of loans that World Bank makes, depending on the country's need. These loans and grants are used for capital projects such as roads and bridges, as well as other infrastructure.The World Bank focuses largely on global poverty alleviation, and many of its efforts are concentrated in low and middle-income countries. Most of the world's poor live in these nations. Its goals include ending extreme poverty by 2030. It also prioritizes reconstruction in post-conflict nations and tackling transnational issues.The World Bank provides loans to developing and middle-income countries, often at no interest. These loans often have longer repayment terms than commercial banks. The World Bank also borrows money from the international capital markets. Many of the loans it provides are for specific projects, and the government of the country needs to approve these projects before they can receive them.The World Bank is led by a president, who is chosen by the World Bank Board of Directors. The president serves for a five-year term. Traditionally, the United States nominates the president of the World Bank. David Malpass, former Under Secretary of the Treasury, was selected to be the bank's thirteenth president in April 2019. There are several different types of loans that World Bank makes, depending on the country's need. These loans and grants are used for capital projects such as roads and bridges, as well as other infrastructure.As the largest shareholder, the United States wields significant voting power. Its veto power allows it to block any changes in the bank's articles of agreement or capital base. The G7 countries control about 45% of the vote. A majority vote is necessary for loan approvals. However, some countries do not have a majority, which means that they do not have a voice.In 1998, the IBRD had 181 member countries. Each country appoints a representative to sit on its board of directors. These representatives are responsible for policy decisions, and are comprised of five representatives from its largest shareholders and the other 19 members of the board. The board of directors also has an independent inspection panel, which investigates complaints about policies and practices.The World Bank's mission is to help nations improve their economies. It aims to alleviate poverty by lending to developing countries. It is involved in various global partnerships, and has many other projects. It also works to help fight climate change. It has several training wings and supports the Clean Air Initiative, and hosts the Open Knowledge Repository.Besides providing loans, the World Bank also conducts research and policy advice for its member countries. It has ambitious goals to end extreme poverty in a generation and promote shared prosperity. It is a vital source of financial and technical assistance to countries worldwide. It is not a traditional bank, but a partnership of governments and organizations dedicated to reducing poverty.