World Bank Secures $100 Billion for Poorest Nations

Donor nations have pledged a historic $100 billion to the World Bank's International Development Association (IDA) to support the world's poorest countries grappling with debt, climate change, inflation, and conflict. This new commitment, announced at a conference in Seoul, surpasses the previous record of $93 billion set in December 2021, although it fell short of the $120 billion target advocated by African leaders. Direct contributions to the IDA amount to approximately $24 billion, with countries leveraging bonds and other financial mechanisms to achieve the total. Notable increases in pledges came from Norway (50%), South Korea (45%), and the UK (40%), while the U.S. raised its contribution to $4 billion. World Bank President Ajay Banga emphasized that these funds will be directed towards critical investments in health, education, and infrastructure. The funding aims to create job opportunities and enhance climate resilience in the 78 targeted low-income countries.