{"id":2085,"date":"2019-09-13T09:38:47","date_gmt":"2019-09-13T09:38:47","guid":{"rendered":"https:\/\/www.ixambee.com\/blog\/?p=2085"},"modified":"2023-06-12T19:15:40","modified_gmt":"2023-06-12T13:45:40","slug":"international-development-association","status":"publish","type":"post","link":"https:\/\/blog.ixambee.com\/international-development-association","title":{"rendered":"Full Form of IDA with all Details"},"content":{"rendered":"

What is IDA?<\/strong><\/h2>\n

IDA<\/strong> stands for International Development Association. <\/strong>It\u00a0came into existence on 24th September 1960<\/strong> with $912.7 million capital to complement the already existing International Bank For Reconstruction And Development (IBRD) . The initial funding was provided by 15 signatory countries – Australia , Canada , China , Germany , India , Italy , Malaysia , Norway , Sudan , Sweden , UK,USA , Thailand , Pakistan and Vietnam but now 173 countries have its membership . IDA has made 44 countries self-reliant ie they no longer depend on IDC for economic finance and development . In other words, 44 countries had graduated from IDC.<\/span><\/p>\n

IDA: Basic Information<\/b><\/h3>\n

IDA is\u00a0 an international financial institution and is a member of the World Bank Group headquartered in Washington DC (US). In other words, IDC together with IBRD which is World Bank\u2019s original lending arm are collectively called as World Bank. IDC\u2019s\u00a0 parent organization is World Bank as it, together with IBRD, shares the same staff and evaluates projects with the same rigorous standards besides sharing the headquarter.Its main aim is to assist the poorest nations in growing equitably and sustainably to reduce poverty. IDC also offers concessional loans and grants to the world’s poorest developing countries besides providing affordable financing to countries at risk of debt distress or whose credit risk is so prohibitive that they cannot afford commercial borrowings .Depending upon the financial vulnerability of a nation, money lent on concessional terms ie credited at a zero or very low- interest charge, repayments are stretched over 30 years for other nations to 38 years for least developed countries including 5-10 years of the grace period .Through its initiative like Heavily Indebted Poor Countries (HIPC) and the Multilateral Debt Relief Initiative (MDRI) ,IDC provides significant debt relief to various countries.<\/span><\/p>\n

Role of IDA<\/b>\u00a0<\/span><\/h3>\n

IDA is\u00a0 funded by its member countries’ governments ,meeting every 3 years to replenish resources and review its policy framework. This replenishment agreement is open for the public to give their feedback or suggestions they want before giving it a final shape. It is governed by the World Bank\u2019s Board of Governors with one governor from member countries. These Governors entrusted daily activities and lending operations to the Board Of Directors which consists of 25 executive directors and chaired by the President of the World Bank Group. Presently it is headed by David R. Malpass.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0IDA is a multitask institution that supports a\u00a0 range of development activities from sanitation,agriculture,clean water,infrastructure,primary education,climate change to basic health services.It also works on issues like social security, health concerns, environmental concern so that they don’t become global challenges at a later stage. IDA also gives important advice to governments on ways to broaden the base of economic growth and protect the poor countries from economic shocks,crisis or emergencies like the Haiti earthquake or the Ebola outbreak in the Democratic Republic Of Congo are the classic examples of IDA\u2019s much needed financial help.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0IDA has also come with a new initiative IDA18 package for 2018-2020 that will help its member countries to achieve the sustainable development goals (SDGs) which aim to end poverty in all its forms by 2030 through its three innovative ways-<\/span><\/p>\n

1.<\/span>Private Sector\u00a0 Window (PSW)<\/b> by providing $2.5 billion of\u00a0 resources to scale up private sector investments\u00a0<\/span><\/p>\n

    \n
  1. Sub Window For Refugees<\/b>–\u00a0 Statistics say there are around 25 million refugees worldwide and IDC has kept a reserve of $2 billion to protect their rights and supports them by also providing much- needed support to the refugee- hosting countries.<\/span><\/li>\n<\/ol>\n

    3.<\/span>Hybrid Financial Model<\/b>– IDC made its maiden debt in the global capital markets through IDA bond ie\u00a0 new triple- A- rated investment opportunities for impact investors\u00a0<\/span><\/p>\n

    Why is IDA Needed?<\/b><\/h3>\n

    IDA is the largest source of finance at concessional rates to the 76 world\u2019s poorest countries .It had helped countries to find\u00a0 solutions that reshaped the development landscape like the agricultural solutions in South Asia during the 1970s starvation period to debt relief. It provides dignity and quality of life to the\u00a0 vulnerable section of society by providing them with basic amenities of life thus helping poor nations to enhance their financial stability and economic growth. It tops in the transparency evaluation as it has its assessment tool which evaluates its progress and has the\u00a0 toughest measure as compared to other international organizations .<\/span><\/p>\n

    IDA: Additional Information<\/b><\/h3>\n

    IDA provides<\/span> concessional loans to countries based on the GNI ie gross national income per capita below an established threshold and updated annually . It also provides loans to island countries who are above the operational cutoff but lack the creditworthiness needed to borrow money from IBRD.<\/span><\/p>\n

    \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Thus IDA is a multi task-oriented organization that tries to reduce poverty, increase investment in infrastructure,enhance economic growth,reduce inequality and finance the needs of the countries who are trying hard to meet sustainable development goals by 2030.<\/span><\/p>\n

    Also Read:<\/strong><\/p>\n

    Full Form of NABARD<\/a><\/strong><\/p>\n

    Get Free<\/i>Online Test Series<\/i><\/a>,<\/i>Daily GK Update<\/i><\/a>,<\/i>PIB Current Affairs<\/i><\/a>\u00a0as well as latest updates for<\/i>Bank PO<\/i><\/a>,<\/i>Bank Clerk<\/i><\/a>,<\/i>SSC<\/i><\/a>,<\/i>RBI<\/i><\/a>,<\/i>NABARD\u00a0<\/i><\/a>and Other<\/i>\u00a0Government Jobs.<\/i><\/a> \u0437\u0430\u0439\u043c \u043d\u0430 \u043a\u0430\u0440\u0442\u0443 \u043e\u043d\u043b\u0430\u0439\u043d \u0431\u0435\u0437 \u043e\u0442\u043a\u0430\u0437\u043e\u0432<\/a>\u0437\u0430\u0439\u043c \u0431\u0435\u0437 \u0443\u0447\u0430\u0441\u0442\u0438\u044f \u0431\u0430\u043d\u043a\u0430<\/a>\u043a\u0430\u043a \u0431\u044b\u0441\u0442\u0440\u043e \u043f\u043e\u043b\u0443\u0447\u0438\u0442\u044c \u0437\u0430\u0439\u043c<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

    What is IDA? IDA stands for International Development Association. It\u00a0came into existence on 24th September 1960 with $912.7 million capital to complement the already existing International Bank For Reconstruction And Development (IBRD) . The initial funding was provided by 15 signatory countries – Australia , Canada , China , Germany , India , Italy , […]<\/p>\n","protected":false},"author":9,"featured_media":2349,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16,8],"tags":[],"class_list":["post-2085","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bank-po","category-daily-gk"],"yoast_head":"\nFull Form of IDA | What does IDA stand for?<\/title>\n<meta name=\"description\" content=\"IDA full form is International Development Association \u2013 IDA stands for, meaning, what is IDA, description, example, acronym for, abbreviation, definitions, and full name of IDA.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/blog.ixambee.com\/international-development-association\" 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