World Bank supports African leaders’ request for record $120 billion development fund

May 1, 2024
World Bank
World Bank Group President Ajay Banga | Reuters

President Ajay Banga is advocating for substantial increases in contributions to a global development fund, asserting that these are crucial investments in global stability and progress, not merely handouts. During a recent interview, Banga highlighted a call from African leaders for at least $120 billion in support for the International Development Association (IDA), which is set to be discussed at an upcoming conference in this December.

IDA, known for providing long-term loans to developing nations, aims to surpass its previous funding round in 2021, which garnered $93 billion. To meet the new target, donor countries would need to contribute approximately $30 billion, leveraging the World Bank's ability to borrow three times that amount.

The push for increased funding comes as over half of the 75 nations that benefit from IDA, predominantly in Africa, face severe financial strains exacerbated by debt and climate-related challenges. Banga emphasized that successful development in Africa could yield significant global benefits, drawing parallels to the economic rise of former IDA recipients like and . He stressed that robust contributions would serve the long-term interests of donor nations as well as those of the developing world.

  • Reporting by Duncan Miriri; Editing by Aaron Ross and Nick Macfie

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