PowerPoint Presentation Economic Growth and development in Southeast Asia

World Bank led by share holders

• World Bank controlled by 188 member governments (share holders) with voting shares determined by capital contributions. Referred to as “the Board”. Currently
• USA is largest share holder with 10.3% voting share (reduced substantially from 16% in early 2000s)
• Japan is second with 8.6%
• UK with 6.1%
• Germany with 5.5%
• France with 3.7%
• China with 2.1%
• Followed by regional groups of countries, each having 4-5% voting shares
• The Board, chaired by the WB president, decides on major policy directions, reviews all (major) loans and grant agreements.
• Very political environment, changing as geo-politics and geography of wealth changes (e.g. China is now a full voting member, also in ADB board)
• US is the only country with veto power… but much less likely to exercise it in recent years.
• Controversial loans don’t make it to the Board

Other multilateral donors…

• Some of the regional banks have a strong development focus i.e. AfDB, ADB, IADB
• Also new Asian Infrastructure Development Bank (China)
• These operate in a similar way to the World Bank but with regional focus
• Provide concessional and non-concessional financing to countries in their region of focus, through regional contributions/share-holders
• ADB is largest (in terms of lending)
• Set up in 1966, membership limited to UNESCAP countries
• Currently 67 member countries
• Japan has largest voting share, president is always Japanese
• Aid also provided by other agencies, for example the EU, OPEC fund, and Islamic Development Bank

Other UN Organizations

• Wide range of other UN organizations that play a role in global development efforts, often linked to specific issues
• e.g. IFAD, ILO, FAO, UNESCO, UNIDO etc
• UN organizations have a range of foreign assistance programs, but considerably smaller than the WB and IMF
• Much of this assistance comes in the form of technical cooperation (consultants, advisors) under the guise of UNDP, UNFPA, WHO
• Or humanitarian assistance, development projects through the WFP, UNICEF, and UNHCR (UN High Commission for Refugees)