While the IBRD raises most of its funds on the world's financial markets, IDA is funded largely by contributions from the governments of its richer member countries. Additional funds come from IBRD's and IFC’s income and from borrowers' repayments of earlier IDA credits.
Donors meet every three years to replenish IDA funds and review IDA’s policies. The most recent replenishment of IDA’s resources the fifteenth replenishment (IDA15) was finalized in December 2007, and finances projects over the three-year period ending June 30, 2011. Donor contributions amounted to SDR 16.5 billion (US$ 25.1 billion) in resources to finance projects, a 42% increase (in USD terms) over the previous replenishment. During the IDA15 replenishment meetings, donors reaffirmed the need to provide additional contributions for the Multilateral Debt Relief Initiative (MDRI) replenishment of SDR 4.1 billion (US$ 6.3 billion), so as to cover IDA's debt relief costs due to the MDRI during the IDA15 disbursement period (FY09-11) as agreed under the MDRI. Donors will meet to review the progress of IDA15 at a Mid-Term Review Meeting to be held in the fall of 2009.
To increase openness and help ensure that IDA’s policies are responsive to country needs and circumstances, representatives of borrower countries from each IDA region have been invited to take part in the replenishment negotiations since IDA13. A total of nine borrower representatives participated during the IDA15 negotiations. In addition, since IDA13, background policy papers are publicly released, as well as drafts of the replenishment reports prior to their finalization.
RSS