speech of arun jaitley in world bank
- apprecisation of world bank work about MENA & SSR crisis , which are providing extra financial assistance through IDA and provide intermediatary fund along the lines of crisis response window for low low and middle income countries.
- for eliminating extreme poverty and to achieve SDGs , world bank has to increase annual lending from 100 billion USD to higher amount.
- shareholding reforms agenda. DTC(developing and transition countries ) should maintain 50% shareholding in world bank groups.
We must accept that the time has come for raising partnership of DTCs in the IBRD and IFC to 50%. This would require that economic weight captured by GDP must remain the primary factor in the formula, with larger share of PPP based GDP of not less than 60%. IDA has enormously useful role in financing development in low income countries, but recognizing IDA contributions in IBRD/IFC share capital has adverse impact on voting share of developing countries . Therefore, it would only be fair if a weight of not more than 10% is given to IDA contributions in the dynamic formula. Such a weight should also recognize only recent contributions to act as rightful incentive for the emerging countries to contribute in IDA and should also recognize multiplier based on burden share and generosity.
