Welcome to site of Scientific Works of NDFI (demo).
Login | Register
THE ACADEMY
OF FINANCIAL
MANAGEMENT
.

№ 1/2017

№ 1/2017

Nauk. pr. NDFI 2017 (1): 16–40
https://doi.org/10.33763/npndfi2017.01.016

INTERNATIONAL FINANCES

KLYMENKO Kateryna 1

1SESE “The Academy of Financial Management”
OrcID ID : https://orcid.org/0000-0001-8295-1333


Foreign experience of cooperation with International Bank for Reconstruction and Development and International Development Association


The article analyzes the need to finance sectoral adaptation and structural adjustment programs, which envisage the implementation of separate reforms within the framework of cooperation programs with the international financial and credit institutions of the World Bank Group – the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA), The principles of economic development programs for the countries of European and Asian regions for 2015 which implement the IBRD and the IDA are determined. The main advantages and disadvantages of such cooperation and its impact on the implementation of state stabilization policy are defined. The author identifies the sources of formation and placement areas of financial resources of the World Bank participants under crisis management and investigates the main financial instruments used by the IBRD and the IDA. It is noted that the financing of development projects by the above said institutions is essential for reforming the economy of any country, creating sufficient foreign exchange reserves for repayment, increasing the competitiveness of the national economy, improving the country’s credit rating in the global financial market, enhancing monetary policy, etc. The article reveals the opportunities for the Commonwealth of Independent States as a result of receiving sovereign loans, grants and technical assistance for a wide range of economic reforms that will strengthen fiscal, social and ecological stability of the country, reduce the budget deficit and inflation rate and create jobs. The author emphasizes that the issue of attracting the financial resources of the IBRD and the IDA remains controversial because, on the one hand, the use of their funds gives positive macroeconomic results and directs the state's economy towards the upward trend under the conditions of the effective implementation of reforms, on the other hand, loans to MFIs create long-term debt dependence rather than provide support in the short term.

Keywords:international financial institutions (IFIs), the International Bank for Reconstruction and Development (ІBRD), International Development Association (IDA), international lending, ІBRD рrogram.

JEL: F34, F65.


Klymenko K. . Foreign experience of cooperation with International Bank for Reconstruction and Development and International Development Association / K. Klymenko // Наукові праці НДФІ. - 2017. - № 1. - C. 16-40.

Article original in Ukrainian (pp. 16 - 40) DownloadDownloads :1372
1. Blanchard, O., Dell'Ariccia, G., & Mauro, P. (2013). Rethinking macroeconomic policy: Getting granular. Retrieved from www.voxeu.org/article/rethinking-macro economic-policy-getting-granular.
doi.org/10.5089/9781484363478.006

2. European Bank for Reconstruction and Development. (1990). Hearings before the Subcommittee on International Economic Policy, Trade, Oceans and Environment of the Senate Committee on Foreign Relations (statement of Dr. E. A. Hewett, Senior Fellow, Brookings Institution) (101st Cong., 2nd Sess. 26-27).

3. Shihata, I. F. I. (1990). The European Bank for Reconstruction and Development: A Comparative Analysis of the Constituent Agreement. London: Graham & Trotman.

4. Lessambo, F. I. (2015). International Financial Institutions and Their Challenges: A Global Guide for Future Methods. Chennai.
doi.org/10.1057/9781137522702

5. Bazy'lyuk, Ya. B. (2014). Priorities improving the performance of Ukraine's cooperation with international financial organizations. Finance of Ukraine, 1, 54-66 [in Ukrainian].

6. Bilorus, O. H., Pakhomov, Yu. M., Huzenko, I. Yu. et al. (2007). Global competitive space. Ky'yiv [in Ukrainian].

7. Dolinovs'ka, O. Ya. (2012). Cooperation of the World Bank and Ukraine. Culture of Black Sea, 235, 34-38. Retrieved from dspace.nbuv.gov.ua/bitstream/handle/123456789/ 59194/10-Dolinovska.pdf?sequence=1 [in Ukrainian].

8. Ehlers, G. (2014). Strategy reforms in public finance. The national programs and international requirements (IMF, EU, World Bank). Finance of Ukraine, 7, 7-16 [in Ukrainian].

9. Dunas, O. I. (2009). The legal status of international financial institutions (Unpublished master's thesis). Ky'yiv [in Ukrainian].

10. Kozhukhova, T. V. (2016). World Bank funding development projects in Ukraine. Scientific Journal of International Humanitarian University. A series of Economics and Management, 15, 17-20 [in Ukrainian].

11. Kolosova, V. P., Ivanova, I. M. (2014). Cooperation of Ukraine with international financial organizations: current situation and prospects of expansion. Finance of Ukraine, 11, 33-47 [in Ukrainian].

12. My'khajly'k, O. M. (2015). Features international lending, the IMF and the World Bank. Efficient economy, 4. Retrieved from www.economy.nayka.com.ua/?op=1&z=3962 [in Ukrainian].

13. Sl'ozko, O. O. (2015). Evaluating the effectiveness of investment projects of the World Bank and the EBRD in Ukraine. Global and national economic problems, 7, 66-71 [in Ukrainian].

14. Ry'bal'chenko, K. O. (2011). The mechanism of improving the efficiency of Ukraine's cooperation with the World Bank in the context of globalization (Unpublished master's thesis). Ky'yiv [in Ukrainian].

15. World Bank. (n. d.). About the World Bank (Five Institutions, One Group). Retrieved from www.worldbank.org/en/about.

16. World Bank Operations Evaluation Department. (2003, June 3). The Comprehensive Development Framework: A Multi-Partner Review. OED Reach. Retrieved from lnweb90.worldbank.org/oed/oeddoclib.nsf/DocUNIDViewForJavaSearch/FB8DF9F47EEA556485256D3B00736667/$file/CDF_Reach.pdf.

17. General Assembly. (n. d.). Transforming our world: the 2030 Agenda for Sustainable Development: Resolution adopted by the General Assembly on 25 September 2015. Retrieved from sustainabledevelopment.un.org/post2015/transformingourworld.

18. World Bank. (n. d.). Annual Report 2015. Retrieved from www.worldbank.org/ru/about/annual-report [in Russian].

19. The World Bank. (n. d.). The role of the IBRD and IDA. Retrieved from www.worldbank.org/ru/about/annual-report/roles-resources [in Russian].

20. Cheremisova, T. A. (2011). System IMF - World Bank funding in the XXI century. Proceedings of the National University "Polytechnic Lvivivska", 714, 547-552 [in Ukrainian].

21. The World Bank. (2014). Turkey's Transitions: Integration, Inclusion, Institutions. Retrieved from documents.worldbank.org/curated/en/507871468306558336/pdf/90509-v2-REVISED-P133570-PUBLIC-Box393190B.pdf.

22. World Bank. (2015). Golden Aging: Prospects for Healthy, Active, and Prosperous Aging in Europe and Central Asia. Retrieved from openknowledge.worldbank.org/bitstream/handle/10986/22018/Golden%20Aging_Overview_rus.pdf?sequence=8&isAllowed=y [in Russian].

23. The World Bank. (n. d.). What's Next in Aging Europe: Aging with Growth in Central Europe and the Baltics. Retrieved from pubdocs.worldbank.org/en/247801443694007920/CEB-Aging-Report.pdf.

24. The World Bank. (2014). Turn down the heat: confronting the new climate normal. Retrieved from www.worldbank.org/content/dam/Worldbank/document/Climate/English-Regional-Summary-Turn-Down-the-Heat-Confronting-the-New-Climate-Normal.pdf.

25. The World Bank. (2016). Global Growth Forecast Again Revised Lower to 2.4 %. Retrieved from www.worldbank.org/en/news/feature/2016/06/07/global-growth-forecast-again-revised-lower.

26. Eurasian Development Bank. (n. d.). Summary of IBRD investment activity in the IV quarter 2015. Retrieved from www.eabr.org/general/upload/207MBR_4_kv_2015.pdf [in Russian].

27. Council of Ministers of the Republic of Belarus. (2015). On the reform of public financial management system of the Republic of Belarus (Order No. 1080, December 23). Retrieved from www.minfin.gov.by/upload/bp/strategy/post_231215_1080.pdf [in Russian].

28. The Belarusian Telegraph Agency. (2016). Belarus with the support of the World Bank will increase the efficiency of public finance management systems - Ministry of Finance. Retrieved from www.belta.by/economics/view/belarus-pri-podderzhke-mbrr-povysit-effektivnost-sistemy-upravlenija-gosfinansami-minfin-203595-2016 [in Russian].

29. The National Assessment of Educational Progress (NAEP). (n. d.). Programme for International Student Assessment (PISA). Retrieved from nces.ed.gov/surveys/pisa.

30. Mukha, A. (2016). Prospects of cooperation between the World Bank and Belarus. Retrieved from thinktanks.by/publication/2016/06/03/perspektivy-sotrudnichestva-vsemirnogo-banka-i-belarusi.html [in Russian].

31. Zhakeev, M. (2016). Since 1992, the World Bank has invested more than $ 6.8 billion in Kazakhstan. Retrieved from www.zakon.kz/4788571-s-1992-goda-vsemirnyjj-bank.html [in Russian].

32. Kaparov, E. (2016). The World Bank will invest over $ 100 million to stimulate job creation in Kazakhstan. Retrieved from www.kursiv.kz/news/obshestvo/vsemirnyj-bank-napravit-bolee-60-mln-na-stimulirovanie-rabocih-mest-v-kazahstane [in Russian].

33. Vaal', T. (2015). 88 million dollars will attract Kazakhstan for financing of the project productive innovation. Retrieved from vlast.kz/novosti/14908-88-mln-dollarov-privlecet-kazahstan-na-finansirovanie-proekta-produktivnyh-innovacij.html [in Russian].

34. Kazakhstan will borrow from the IBRD $ 1 billion to cover budget deficit. (2016). Business cenzor. Retrieved from biz.censor.net.ua/news/6086/kazahstan_zayimet_u_mbrr_1_milliard_dlya_pokrytiya_defitsita_byudjeta [in Russian].

35. Kazakhstan - the leader in terms of attracting investments of the World Bank. (2016). Radiotochka.kz. Retrieved from radiotochka.kz/23178-kazahstan-lider-po-obemu-privlechennyh-investiciy-vsemirnogo-banka.html [in Russian].

36. Armenia has ratified a loan agreement with the World Bank at $ 30 million on the financial health of energy companies. (2016). News agency ARKA. Retrieved from arka.am/ru/news/economy/armeniya_ratifitsirovala_ kreditnoe_soglashenie_s_mbrr_v_30_mln_na_finansovoe_ozdorovlenie_energokomp/ [in Russian].

37. International Bank for Reconstruction and Development will provide Armenia with a credit of $ 21 million. (2015). NEWS.am. Retrieved from news.am/rus/news/301190.html [in Russian].

38. International Bank for Reconstruction and Development will provide Armenia with a credit of 40 million US dollars. (2016). NEWS.am. Retrieved from news.am/rus/news/309616.html [in Russian].

39. Armenia's foreign debt exceeded $ 4 billion. (2016). Newsarmenia. Retrieved from newsarmenia.am/news/economy/vneshniy-gosdolg-armneii-prevysil-4-mlrd/ [in Russian].

40. International Bank for Reconstruction and Development (IBRD) and International Development Association (IDA) provide Moldova with about $ 20 million for the modernization of the tax administration. (2016). InfoMarket. Retrieved from www.infomarket.md/ru/analitics/mejdunarodnyiy_bank_rekonstruktsii_i_razvitiya_mbrr_i_mejdunarodnaya_assotsiatsiya_po_razvitiyu_mar_predostavyat_moldove_okolo_20_mln_na_modernizatsiyu_nalogovogo_administrirovaniya [in Russian].