World Bank Administrative Agreement

World Bank Administrative Agreement: A Comprehensive Overview

The World Bank, established in 1944, is an international financial institution that aims to provide assistance to developing countries. Its primary function is to provide loans, grants, and technical assistance to support the economic development of these countries.

One of the essential documents that the World Bank uses to facilitate its work is the Administrative Agreement. This agreement specifies the terms and conditions of the World Bank’s relationship with a particular country. In this article, we’ll delve into the details of the World Bank Administrative Agreement.

What is a World Bank Administrative Agreement?

An Administrative Agreement, also known as a Country Partnership Framework or Country Assistance Strategy (CAS), is a legal document that outlines the World Bank`s partnership with a country. It specifies the development priorities, strategies, and interventions needed to achieve the country`s long-term development goals.

The Administrative Agreement is developed in partnership with the country, government, and other stakeholders. It is based on a thorough analysis of the country`s economic, social, and political situation to identify the key development challenges and opportunities.

The Administrative Agreement serves as a framework for the World Bank`s operations in the country, such as lending, technical assistance, and policy dialogue. It helps to ensure that the World Bank`s interventions align with the country`s priorities and needs.

Key Components of a World Bank Administrative Agreement

1. Development Priorities: The Administrative Agreement identifies the country`s development priorities and sets out a plan for addressing them. This includes specific goals for poverty reduction, economic growth, and social development.

2. Results Framework: The Agreement includes a results framework that specifies the outcomes that the World Bank and the country aim to achieve. It measures progress towards the agreed-upon development priorities and goals.

3. Financing Plan: The agreement sets out a financing plan that outlines the World Bank`s financial support for the country`s development projects. This includes loans, grants, and technical assistance.

4. Implementation Arrangements: The Administrative Agreement sets out the implementation arrangements for the World Bank`s support. This includes the roles and responsibilities of the World Bank, the government, and other stakeholders.

Benefits of a World Bank Administrative Agreement

1. Partnership: The Administrative Agreement is a collaborative effort between the World Bank and the country. It ensures that the World Bank`s interventions align with the country`s priorities and needs. This partnership approach helps to build sustainable development programs that are more likely to succeed.

2. Accountability: The Administrative Agreement includes a results framework that measures progress against agreed-upon development goals. This helps to hold both the World Bank and the country accountable for their performance.

3. Comprehensive Approach: The Administrative Agreement provides a comprehensive approach to development that considers the country`s economic, social, and political context. This ensures that development interventions are relevant and effective.

Conclusion

The World Bank Administrative Agreement is a critical document that outlines the World Bank`s partnership with a particular country. It helps to ensure that the World Bank`s interventions align with the country`s priorities and needs, leading to sustainable development programs that are more likely to succeed. By understanding the key components and benefits of the Administrative Agreement, countries can work more effectively with the World Bank to achieve their long-term development goals.