FM stresses on capital Increase and need for Voice Reforms in World Bank

The Union Finance Minister Arun Jaitley emphasised on the two way relationship between India and the World Bank. He said that India actively seeks global good practices from the Bank, and also generates good development practices that are being shared by the Bank globally. The Finance Minister Shri Jaitley was making his Opening Remarks when Dr. Jim Yong Kim, President World Bank Group called on him in his office here today.

Speaking on this occasion, Dr. Kim, President World Bank informed the Finance Minister Shri Jaitley about the World Bank Group’s agenda and strategy for achieving the twin goals of removal of global poverty and increasing shared prosperity. He assured support of the World Bank Group to partner India’s development strategies and aspirations through delivery of a diversified programme of financing, knowledge exchange and capacity building.

The Finance Minister Shri Jaitley, while complementing the World Bank President for setting the twin global goals (of removal of global poverty and increasing shared prosperity), also stressed on capital increase and the need for voice reforms in the Bank so that not only does the Bank play its global role in poverty reduction and development, but also reflects the emerging world order in its governance.

During this meeting, issues relating to the Indian economy and the key priorities of the Government of India were also discussed. Indian side was led by Finance Minister along with Dr Arvind Mayaram, Finance Secretary, M.N.Prasad, Executive Director, World Bank and Shri Dinesh Sharma, Additional Secretary, Department of Economic Affairs (DEA) among others while the World Bank delegation was led by Dr Kim, President, World Bank Group along with Mr Philippe Le Houerou, Regional Vice President, SAR, World Bank and Ms Karin Finkelston, Vice President, IFC among others.

India is the highest cumulative borrower of World Bank, with a current portfolio of 85 projects having a commitment of US$ 24.12 billion, with IBRD accounting for USD 12.86 billion and IDA accounting for USD 11.16 billion in active projects. India also constitutes the largest single portfolio exposure of IFC, the private sector arm of the World Bank Group, with commitments over USD 4.5 billion.

Dr. Jim Yong Kim, President World Bank Group is on a visit to India from 21st to 25th July, 2014. This is his second visit to India in his capacity as the President, World Bank Group.