World Bank

Bretton Woods Agreements: Took place in July 1944 / United Nations Monetary and Financial Conference /44 countries took part and agreed on new rules for a post world war 2 international monetary system.

Policies adopted by governments to combat the great depression like high tariff barriers, competitive currency devaluations and discriminatory trading blocks led to unstable international environment without progress in improving the economic situation.

International leaders decided that economic cooperation was the only way

Need to create institution that help rebuild economies hit by war.

Need for capital from private and governement was needed.

International Monetary Fund and International Bank for Reconstruction was created.

IBRD created to rebuild countries destroyed by WW2 (Temp) and to promote the development of productive resources in the least developed nations (Perm)

The IBRD has six goals: Restore economies destroyed by war, promote foreign investment, promote balanced growth of international trade, arrange loans and conduct operations with due regard to the effect of international investment on business conditions.

Marshall Plan: European Recovery Program (1948) which provided aid to western europe. More than 15 Billion was financed.

In 1948 IBRD focus shifted from reconstruction to development ( Infrastructure)

Goals of IBRD now a days are ending extreme poverty by 2030 and boosting shared prosperity of the poorest 40 percent.

WB report: Poverty and Shared Prosperity 2018: identifies how governments can optimize fiscal policy to help correct course

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