World Bank

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Funding Strategy of the Bank

 

There are four basic objectives of the World Bank’s funding strategy:

 

  • To make sure availability of funds in the market.
  • To provide the funds at the lowest possible cost to the borrowers through appropriate currency mix when interest rates are expected to rise.
  • To control volatility in net income and overall loan changes.
  • To provide an appropriate degree of maturity transformations between its lending and the borrowing. Maturity Transformation depicts the Bank’s capacity to lend for longer period than to borrow.

 

 

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