FOR IMMEDIATE RELEASE (Washington, DC – 10 December 2024) The Bretton Woods Committee welcomes the historic twenty-first replenishment of the World Bank Group’s International Development Association (IDA).
IDA supports the world’s 78 poorest countries with concessional loans and grant resources, providing a lifeline of transparent funding with clear and manageable terms for countries at risk of debt distress. IDA’s donors contributed $24 billion in funds in this replenishment cycle, which will be leveraged in capital markets, amounting to a total of $100 billion in affordable financing.
This unique model means that paid-in capital from donor countries can do what bilateral aid cannot: each dollar can be leveraged 3.5 times. This is especially important given the significant fiscal constraints facing the world’s wealthiest countries. Global needs continue to rise, however, as development assistance is increasingly strained, representing a significant challenge to global growth.
This replenishment also reinforces the crucial role IDA plays in addressing pressing challenges like poverty reduction, climate resilience, and health equity. At a time when low-income countries are grappling with the compounded effects of global economic uncertainty, rising debt levels, and worsening climate crises, IDA’s resources will help build a more stable and equitable global economy.
“This replenishment is a testament to the power of multilateralism to address some of the most urgent and complex challenges of our time,” said Emily Slater, Executive Director of the Bretton Woods Committee. “The Bretton Woods Committee applauds donor nations’ unwavering commitment to advancing sustainable development and fostering global economic stability. IDA’s innovative financing model ensures resources are not only multiplied but also deployed where they are needed most—strengthening resilience and opportunity in the world’s most vulnerable communities.”
This significant investment reflects a shared recognition of the need for a robust and effective IDA to address today’s interconnected challenges. By bolstering the World Bank Group’s ability to deliver impactful development solutions, this replenishment underscores the power of collective action to uplift the world’s most vulnerable communities.
BWC is proud to support the global cooperation and investment in multilateralism that this replenishment represents.
About the Bretton Woods Committee:
The Bretton Woods Committee (BWC) is the preeminent non-profit organization dedicated to effective global economic and financial cooperation. BWC demonstrates the value of multilateralism and enhances the performance of international financial institutions (IFIs) through public dialogue, advocacy, and policy analysis.