World Bank plan criticised by businesses and US

by Richard Kilner

Story link: World Bank plan criticised by businesses and US

The World Bank has proposed that developing nations be permitted to use their own funding rules for projects funded by the global institution.

However, the proposals have not met with the United States administration’s approval.

Under the plans projects covering areas such as rural areas and infrastructure would be affected, in addition to other projects.

A major bone of contention between the World Bank and businesses that work with it has been the fear that certain countries are more vulnerable to fraud or corruption, with examples such as Zimbabwe being cited.

Operations policy VP, Jeffrey Gutman, has stated that the proposals are still undergoing a process of consultation and development and have not yet reached their final format.

On 1 April the proposals will be reviewed by bank executives, following two bank committee reviews being held today.