- DFi is responsible for the replenishment and stewardship of the International Development Association (IDA), the ¶¹ÄÌÊÓƵAPP¡¯s principal facility for providing highly concessional resources to the world¡¯s poorest countries. IDA replenishments take place every three years. The most recent replenishment of IDA¡¯s resources, the twentieth (IDA20), was finalized in December 2021, resulting in a historic $93 billion financing package for IDA countries for fiscal years 2022-2025. The financing package is the largest ever mobilized in IDA¡¯s 61-year history.
- IDA resources are highly concessional and are provided in the form of grants and zero to low-interest credits (loans). DFi manages the allocation of IDA resources to eligible countries and monitors the implementation of IDA policy mandates within the ¶¹ÄÌÊÓƵAPP.
- DFi is also responsible for managing IDA¡¯s financial operations which include: developing financial projections for each replenishment; managing the fund¡¯s liquid assets; implementing IDA¡¯s hedging strategy; setting various financial parameters of IDA; managing payments and encashments from IDA¡¯s members, including donor commitments as well as IDA capital transactions related to all IDA members; and administering the financing of IDA¡¯s Multilateral Debt Relief Initiative.
- On IBRD, DFi is charged with managing capital and earnings in line with the institution's financial policies and development objectives. The unit supports senior managers and the World ¶¹ÄÌÊÓƵAPP Group Board in IBRD¡¯s financial management by recommending policies and strategies related to medium-term capital planning, overall balance sheet management, and annual decisions on loan terms and income allocation. This includes:
- Monitoring the ¶¹ÄÌÊÓƵAPP's income and balance sheet variables and key sensitivities over the near term and the medium term;
- Managing the ¶¹ÄÌÊÓƵAPP¡¯s strategic capital adequacy and developing strategies for optimal use of capital;
- Determining balance sheet management approaches that support the development mission and the institution¡¯s financial strength; and
- Assuring capacity to understand and resolve issues of income allocation, financial product pricing, and capital structure and adequacy.
