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The World Bank's activities are currently focused on developing countries, (since 2000, the preferred term is Less Developed Country (LDC)), in fields such as education, agriculture and industry. It provides loans at preferential rates to member countries who are in difficulty. In counterpart, it also asks that political measures be taken to, for example, limit corruption or foster democracy.
It came into existence on December 27, 1945 following international ratification of the agreements reached at the Bretton Woods Conference of July 1 - July 22, 1944.
The World Bank provides long term loans, grants, and technical assistance, to help developing countries implement their poverty reduction strategies. As such, World Bank financing is used in many different areas, from reform of health and education sector, to environmental and infrastructure projects, including dams, roads, and national parks.
The IBRD provides loans to governments and public enterprises, always with a government (or "sovereign") guarantee. The funds for this lending come from a combination of the repayment of past loans and the issuing of bonds on the global capital markets. The IBRD is one of the highest rated borrowers on the international markets, and is thus able to borrow at relatively low interest rates. It lends to countries at interest rates that are usually still quite attractive to them, by adding a small margin (about 1%) to its borrowing costs to cover administrative overheads.
In addition to financing, the World Bank Group provides advice and assistance to developing countries on almost every aspect of economic development.
Together with four affiliated agencies created between 1956 and 1988, the IBRD is part of the World Bank Group. The Group's headquarters are in Washington, D.C.. The World Bank Group is presently headed by president ( 19951995 was a common year starting on Sunday (see link for calendar). It has a Golden number of 1, and was the first year of the International Decade of the World's Indigenous People (1995- 2005): http://www. org/culture/indigenous . Events January events Ja- 20052005 is a common year starting on Saturday (link will take you to calendar). It has been designated: The World Year of Physics The International Year of Microcredit The International Year for Sport and Physical Education The United States Year of Foreign) James D. Wolfensohn, who is president of the IBRD as well as the four affiliated institutions. The Bank also serves as one of several Implementing Agencies for the UN Global Environment Facility ( GEF).
The IBRD's four affiliated agencies are:
IDA provides "soft" loans, with repayment periods of some 30 years and no interest, to the poorest countries (generally with per capita incomes below $500 per year). IFC provides financing to the private sector, while MIGA provides political risk insurance for private companies making investments in developing countries. IDA lending is funded by direct contributions from rich country governments, while IBRD, IFC and MIGA get their funds through bonds issued on the global capital markets.
Each institution in the World Bank Group is owned by its member governments, which subscribe to its basic share capital. The IBRD has 184 member governments, and the other institutions have between 140 and 176 members. The institutions of the World Bank Group are all run by a Board of 24 Executive Directors, with each Director representing either one country (for the largest countries), or a group of countries. Directors are appointed by their respective governments or the constituencies.