Research by Ben Leo, Todd Moss, and Andy Sumner was mentioned in a bottom billion article featured on
Yahoo News
From the Article
Mar 12 (OneWorld.net) - New research published by the Washington-based Center for Global Development questions whether a core function of the World Bank in supporting poor countries is "heading toward retirement" by 2025.
The report's inference of a world in which countries grow wealthier whilst poor people remain poor may deepen confusion about the role of foreign aid in ending global poverty.
Founded in 1960, the purpose of the World Bank's International Development Association is to provide finance for countries whose economic status fails to satisfy the requirements of commercial markets. It has become an integral branch of the global aid industry.
The IDA's concessionary loans and grants are available to countries whose average per capita income is less than $1,165, at 2009 values. The Center for Global Development report observes that many of the low income countries now qualifying for IDA support will shortly "graduate" above this threshold.
Projections of economic growth are such that the 79 countries currently eligible will reduce to just 31 by 2025, even after allowing for inflation. Of these remaining poor countries, 25 will be in Africa, many of them at present classified as "fragile or post-conflict."
The report asserts that "the World Bank has long identified the difficulties of working and staffing in fragile states. To date, it has made little progress in meeting these challenges." The IDA has tended to focus on the more stable economies.
The prospect of such a drastically altered profile of IDA clients prompts the authors Todd Moss and Benjamin Leo to recommend that "World Bank shareholders and management begin frank discussions on its future sooner rather than later."