Multilateral Development Banks Eye Lending $400 Billion

The Inter-American Development Bank (IADB) announced that leaders of 10 multilateral development banks have committed to taking action in five critical areas, including additional lending headroom totaling $300-400 billion over the next decade, according to a report by Marcela Ayres for Reuters.

The effort comes amidst growing calls for these institutions to increase financing under favorable conditions to developing countries. I Photo: APK Wikimedia Commons

This effort comes amidst growing calls for these institutions to increase financing under favorable conditions to developing countries, which face significant challenges in climate transition and are more vulnerable to the effects of higher global interest rates.

"Together, we will be able to achieve more, with greater impact and on a larger scale," stated IDB President Ilan Goldfajn.

Following a retreat held at the IDB headquarters in Washington, on the sidelines of the International Monetary Fund and World Bank spring meetings, the MDBs announced that the agreed plan involves "joint steps to work more effectively as a system," as reported by Reuters.

The group includes institutions such as the World Bank Group, the New Development Bank (NDB), the Asian Infrastructure Investment Bank (AIIB), the European Investment Bank (EIB), and the African Development Bank (AfDB).