Where does the World Bank get its money?
• We raise money in several different ways to support the low interest and no interest loans (credits) and grants that the World Bank (IBRD and IDA) offers to developing and poor countries. IBRD lending to developing countries is primarily financed by selling AAA-rated bonds in the world’s financial markets. IBRD bonds are purchased by a wide range of private and institutional investors in North America, Europe and Asia. While IBRD earns a small margin on this lending, the greater proportion of income comes from lending out our own capital. This capital consists of reserves built up over the years and money paid in from the bank’s 185 member country shareholders. IBRD income also pays for World Bank operating expenses and has contributed to IDA and debt relief. We maintain strict financial discipline to maintain the AAA status of our bonds and continue to extend financing to developing countries. Shareholder support is also very important for the Bank. This is reflected in the capital
