IDA

94 percent of countries (94 out of 100 countries) with current World Bank and International Monetary Fund (IMF) loans have cut vital investments in public education, health and social protection over the past two years, according to a new report published today by Oxfam and Development Finance International (DFI).

Given the immense financing needs to achieve development goals —nearly $4 trillion annually— Oxfam supports a robust and generous IDA replenishment. But reaching a record dollar amount only makes a bigger IDA, when what is most needed is a better IDA. A better, more impactful IDA must minimize the cost of finance, but more importantly catalyze investments that reduce inequality. After all, funds like IDA remain so crucial in part because we have collectively failed to address extreme inequality within and between countries.
 

Income inequality is high or increasing in 60 percent (64 out of 106) of low- and middle-income countries receiving grants or loans from the International Monetary Fund (IMF) and World Bank, reveals new Oxfam analysis ahead of the 2024 Spring Meetings in Washington D.C. Countries with high levels of income inequality have Gini coefficients above 0.4, the warning level set by the United Nations.

The World Bank today announced that 52 donor countries have committed to an $82 billion package for the 19th replenishment of the International Development Association (IDA19), the Bank’s fund for the world’s poorest countries.

We continue to believe that the International Development Agency (IDA) is a critical place for donors to be putting their aid dollars.