World Bank donors pledge record USD75 billion to end extreme poverty

More than 60 donor and borrower governments on Thursday agreed to commit a record of 75 billion U.S. dollars for the International Development Association (IDA), the World Bank' s fund for poorest countries, in order to fight against extreme poverty.

The funding will enable the IDA to scale up development interventions as well as promote jobs and economic opportunities in the world' s poorest countries, said the World Bank in a statement on Thursday.

"This is a pivotal step in the movement to end extreme poverty," World Bank Group President Jim Yong Kim said in the statement.

The IDA planned to replenish its funding during the period which runs from July 1, 2017 to June 30, 2020, in order to support an ambitious plan which includes providing health, financial, education, and basic water and energy for millions of children and adults.

To finance the plan, the IDA for the first time is seeking to raise funds through debt markets alongside donor contributions with internal resources and donor contributions.

"The innovative financing package offers exceptional value for money, with every 1 U.S. dollar in partner contributions generating about 3 U.S. dollars in spending authority," said Axel van Trotsenburg, World Bank vice president for development finance.

"It is one of the most concrete and significant proposals to date on the Addis Ababa Action Agenda - critical to achieving the 2030 Sustainable Development Goals," said Trotsenburg.

A total of 75 low-income countries are eligible to benefit from the IDA financing package. Enditem