IDA20 MID-TERM REVIEW EVENT

Addressing climate and development together is a priority for IDA, and will be critical to building the resilience needed to withstand future shocks and seizing economic opportunities to create more and better jobs in a greening global economy. IDA20 continues to raise ambition with a view to supporting countries toward greener, more resilient, and more inclusive development pathways. 

By 2030, up to two-thirds of the world’s extreme poor will live in areas affected by fragility, conflict, and violence. As a steadfast development partner, IDA remains engaged in such countries working in partnership with others to support efforts for prevention and resilience, transition out of fragility and recovery. In countries facing high-intensity conflict situations, IDA’s engagement is focused on preserving institutional capacity and human capital that are critical for a country’s future recovery.

Accelerating gender equality and empowerment is a key priority for IDA. No country, community, or economy can achieve its potential while critical gaps persist between men and women, boys and girls. Closing gender gaps sets countries on a sustainable path toward more diversified economies, higher levels of productivity, and better prospects for the next generation.

Investments in human capital are essential to people’s wellbeing, enhancing productivity, inclusive economic growth, poverty reduction, and promoting crisis preparedness. For decades, IDA has focused on investing in people. Today, IDA is stepping up amid overlapping crises to enhance technical and financial support for human capital development.

Before the COVID-19, IDA countries needed to create 20 million jobs a year for a decade to keep pace with youth entering the labor markets. But during the COVID-19 period, millions of jobs were lost resulting in 97 million people falling into poverty. IDA20 supports the Jobs and Economic Transformation (JET) agenda by creating jobs, addressing the immediate needs of minimizing job losses and mitigating risks, while also helping countries capture longer-term job creation opportunities.

IDA is uniquely positioned to quickly support countries in crisis preparedness and integrate it into broader development agendas. IDA focuses on improving preparedness for specific crises and investments that enhance readiness for different situations, such as natural hazards, pandemics, and food insecurity.

Sustainable and transparent debt is critical to development. Yet today debt risks and vulnerabilities are intensifying in developing countries. That’s why IDA—through its projects and the Sustainable Development Finance Policy (SDFP)—focuses on proactively and systematically incentivizing countries to move towards transparent, sustainable financing, and promoting coordination among creditors.

Effective governance and institutions are essential to reducing poverty and recovering from various crises. The COVID-19 pandemic amplified gaps and heightened the importance of strong institutions and governance systems across sectors. IDA continues its commitment to building stronger government capacity and accountability in service delivery.

IDA countries need more access to digital technology, as well as increased affordability, usage, and inclusion. On a global level, mobile coverage has expanded rapidly, but IDA countries must catch up and the COVID-19 pandemic underscored the importance of addressing the digital divide. In addition to its support to governments, IDA facilitates private capital mobilization to bring in much needed private investment, innovation, and skills transfer to all IDA countries.