DSST Business Ethics Study Guide sm 2

Bank were responsible for the reduced health

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Bank were responsible for the “reduced health, nutritional and educational levels for tens of millions of children in Asia, Latin America, and Africa”. [12] [ edit ] 1989–Present From 1989 World Bank policy changed in response to criticism from many groups. Environmental groups and NGOs were incorporated in the lending of the bank in order to mitigate the effects of the past that prompted such harsh criticism. [13] Bank projects "include" green concerns. Millennium Development Goals The World Bank's current focus is on the achievement of the Millennium Development Goals (MDGs), lending primarily to "middle-income countries" at interest rates which reflect a small mark-up over its own (AAA-rated) borrowings from capital markets; while the IDA provides low or no interest loans and grants to low income countries with little or no access to international credit markets. The IBRD is a market-based nonprofit organization, using its high credit rating to make up for the relatively low interest rate on its loans, while the IDA is funded primarily by periodic "replenishments" (grants) voted to the institution by its more affluent member countries. The Bank’s mission is to aid developing countries and their inhabitants to achieve development and the reduction of poverty, including achievement of the MDGs, by helping countries develop an environment for investment, jobs and sustainable growth, thus promoting economic growth through investment and enabling the poor to share the fruits of economic growth.
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[ edit ] Key Factors The World Bank sees the five key factors necessary for economic growth and the creation of an enabling business environment as: 1. Build capacity : Strengthening governments and educating government officials. 2. Infrastructure creation : implementation of legal and judicial systems for the encouragement of business, the protection of individual and property rights and the honoring of contracts. 3. Development of Financial Systems : the establishment of strong systems capable of supporting endeavors from micro credit to the financing of larger corporate ventures. 4. Combating corruption : Support for countries' efforts at eradicating corruption. 5. Research, Consultancy and Training : the World Bank provides platform for research on development issues, consultancy and conduct training programs (web based, on line, tele-/video conferencing and class room based) open for those who are interested from academia, students, government and non-governmental organization (NGO) officers etc. The Bank obtains funding for its operations primarily through the IBRD’s sale of AAA-rated bonds in the world’s financial markets. The IBRD’s income is generated from its lending activities, with its borrowings leveraging its own paid-in capital, plus the investment of its "float". The IDA obtains the majority of its funds from forty donor countries who replenish the bank’s funds every three years, and from loan repayments, which then become available for re-lending.
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