World Development Report 2023

Context:

Recently, World Bank released the World Development Report 2023: Migrants, Refugees, and Societies

Relevance:

GS II: Polity and Governance

Dimensions of Article:

1. Key highlights of the report on global migration:
2. About World Bank

Key highlights of the report on global migration:

Global migration statistics:

• 2.3% of the world’s population (184 million people), including 37 million refugees, live outside their country of nationality.

Income gains for Indian migrants to the US:

• Low-skilled Indian migrants to the US see a significant gain in their income of around 500%.
• Highly-skilled workers such as engineers or doctors experience even higher income gains.

Categorization of migrants:

• The report categorizes migrants into four types: refugees with skills in demand, economic migrants with skills that match demand, distressed migrants, and others.

Top migrant corridors:

• India-US, India-Bangladesh, and India-Gulf Cooperation Council are among the top migrant corridors.

About World Bank

• The World Bank (WB) is an international organization which provides facilities related to “finance, advice and research to developing nations” in order to bolster their economic development.
• It provides loans and grants to the governments of poorer countries for the purpose of pursuing capital projects.
• It comprises two institutions: The International Bank for Reconstruction and Development (IBRD), and the International Development Association (IDA).
• The World Bank is a component of the World Bank Group.

World Bank Group

• The World Bank Group is an extended family of five international organizations, and the parent organization of the World Bank, the collective name given to the first two listed organizations, the IBRD and the IDA:
  1. International Bank for Reconstruction and Development (IBRD)
  2. International Development Association (IDA)
  3. International Finance Corporation (IFC)
  4. Multilateral Investment Guarantee Agency (MIGA)
  5. International Centre for Settlement of Investment Disputes (ICSID)
• With 189 member countries, the World Bank Group is a unique global partnership: five institutions working for sustainable solutions that reduce poverty and build shared prosperity in developing countries.
• The Bank Group works with country governments, the private sector, civil society organizations, regional development banks, think tanks, and other international institutions on issues ranging from climate change, conflict, and food security to education, agriculture, finance, and trade.

Introduction to the 5 organizations of World Bank Group

• The International Bank for Reconstruction and Development: The International Bank for Reconstruction and Development (IBRD) lends to governments of middle-income and creditworthy low-income countries.
• The International Development Association: The International Development Association (IDA) provides interest-free loans — called credits — and grants to governments of the poorest countries. It is called the soft loan window of the World Bank. Together, IBRD and IDA make up the World Bank.
• The International Finance Corporation: The International Finance Corporation (IFC) is the largest global development institution focused exclusively on the private sector. It helps developing countries achieve sustainable growth by financing investment, mobilizing capital in international financial markets, and providing advisory services to businesses and governments.
• The Multilateral Investment Guarantee Agency: The Multilateral Investment Guarantee Agency (MIGA) was created in 1988 to promote foreign direct investment into developing countries to support economic growth, reduce poverty, and improve people’s lives. MIGA fulfils this mandate by offering political risk insurance (guarantees) to investors and lenders.
• The International Centre for Settlement of Investment Disputes: The International Centre for Settlement of Investment Disputes (ICSID) provides international facilities for conciliation and arbitration of investment disputes.

-Source: The Hindu