Expand IBRD
VerifiedAnswer: International Bank for Reconstruction and Development
Explanation:
The International Bank for Reconstruction and Development (IBRD) is one of the five institutions that make up the World Bank Group. Established in 1944 during the Bretton Woods Conference alongside the International Monetary Fund (IMF), the IBRD was initially created to help rebuild Europe after World War II.
Today, the IBRD serves as a global development cooperative owned by 189 member countries. Its primary mission has evolved to focus on reducing poverty in middle-income and creditworthy low-income countries by promoting sustainable development, good governance, and institutional capacity building.
The IBRD operates differently from commercial banks. It raises funds by issuing bonds in international capital markets, which allows it to lend money to developing countries at relatively low interest rates. These loans typically support projects in areas such as infrastructure development, education, healthcare, environmental protection, and economic reforms.
Key functions of the IBRD include:
• Providing financial assistance and loans for development projects • Offering technical expertise and policy advice to member countries • Supporting capacity building initiatives in developing nations • Promoting private sector development and investment
The IBRD headquarters is located in Washington, D.C., and it works closely with governments, civil society organizations, and the private sector to address global challenges such as climate change, pandemics, and economic inequality. Understanding the IBRD is important for students studying international relations, economics, and development studies, as it plays a crucial role in global economic development and poverty reduction efforts worldwide.
