9:45 – 11:15 Session One Strategic Directions for Development Impact Chair :

2. 9:45 – 11:15 Session One • Strategic Directions for Development Impact • Chair: • NenaStoiljkovic, Vice President, Business Advisory Services, IFC • Presenter: • Joachim von Amsberg, Vice President, Concessional Finance • and Global Partnerships (CFP), WB • Panel: • Mark Bowman, Director General, DFID, United Kingdom • Per Knutsson, Head, Multilateral Coordination Unit, SIDA, Sweden • Jennifer Adams, Director, Office of Engagement, USAID, USA

3. Strategic Directions for Development Impact Joachim von Amsberg Vice President Concessional Finance and Global Partnerships (CFP) World Bank Session 1 May 21, 2013 The World Bank Group

4. 1 Why We Work Together 2 Changing Global Economic Landscape 3 • WBG Strategic Framework 4 • WBG and Development Partners 5 • Implications for Joint WBG – Partners Work

5. Why We Work Together 61 years life expectancy raised from 56 years old between 2000 and 2008 Afghanistan A Global Partnership supporting reconstruction 21 million people reached through the National Solidarity Program, of which 35% have been women 28% increase in births attended by skilled health staff from 2010 to 2012 50% reduction in school dropout rates and 2,780 classrooms rehabilitated Vietnam Access to All-Weather Roads 22% reduction in electrical grid losses between 2002 and 2007 Sudan Fighting High Maternal Mortality 7,600 kilometers of roads and 26,000 meters of bridges rehabilitated Moldova Improving Power Transmission Zambia Increasing Access to Malaria Interventions 24% increase in the number of households owning a least one insecticide-treated net Timor Leste Translating Growth into Lasting and Inclusive Development 210,000 people lifted out of poverty. 53% drop in malaria parasitemia

6. Changing Global Economic Landscape • Ending poverty is finally within reach • High growth in MICs and LICs driving global trade and investment • Massive foreign direct investment & other private flows, mainly to MICs • ODA has played a key role in LICs • “New” donors providing trade and investment finance, South-South knowledge exchange • Significant progress in poverty reduction and other MDGs • If growth momentum is maintained, extreme poverty could drop to 6% in IDA countries by 2030

7. Changing Global Economic Landscape • Success requires addressing risks • Slow down in economic growth can delay progress by half a century • Areas of focused attention include: • Better leverage of public and private resources to support growth and service delivery • Tackle growing inequality, particularly in resource rich countries • Address global challenges such as climate change, recurrent crises, security

8. WBG Strategic Framework • End Extreme Poverty • the percentage of people living with less than US$1.25 / day to fall to 3 percent by 2030 • Promote Shared Prosperity • faster income growth of bottom 40% population in every country WBG Goals Achieving the goals must be sustainable in the long term – environmentally, socially and fiscally • Serve Poor and Vulnerable People Everywhere Building Blocks • Work as One World Bank Group • Recognize the Diversity of Clients • Exercise Dynamic Selectivity • Focus on Development Solutions

9. WBG Strategy- Building Blocks Serving the poor and vulnerable everywhere • 1.2 billion people live on less than $1.25 a day, 2.7 billion live on $1.25 billion-$4.0 a day • Focus on poor people and vulnerable in all countries • Large and small • Across a spectrum of income levels • Different institutional capacity – FCSs will require special attention

10. WBG Strategy- Building Blocks Recognize the diversity of clients • Engage a diversity of clients at country level • Public sector, including different levels of government • Private sector clients • Engage at the global level in critical areas: • Promote collective action • Deliver global public goods • Support global agenda

11. WBG Strategy- Building Blocks Working as one World Bank Group • Leverage private and public resources for greater development impact • Maximize synergies of each WBG institution, while recognizing distinct client focus • Enhance consistency in policies, processes, and complementarity • Better share resources across the institution

12. WBG Strategy- Building Blocks Focus on development solutions • With a line of sight to goals • Responding to client needs • Based on WBG comparative advantage • Evidence-based

13. WBG Strategy- Building Blocks Dynamic selectivity: three lenses Impact Comparative Advantage Line of Sight Focused WBG Programs

14. WBG and Development Partners Serving diverse clients with a range of financing instruments IBRD, IFC, MIGA Capital loans, investments IDA Fund Un-earmarked grants, concessional credits Clients Results Investors Trust Funds grants earmarked FIFs grants, investments IFC Trust Funds

15. WBG and Development Partners World Bank Group concessional finance portfolio Partners’ Contributions to WBG FY08-FY12, $ billion Unearmarked Earmarked * Excludes capital subscriptions for IBRD , IFC, MIGA

16. WBG and Development Partners Concessional Finance Business Lines: Disbursements, FY12 Trust Funded Country OpsUS$2. bn IDAUS$14.8bn High Trust Funded Partnership ProgramsUS$1.8 bn World BankOperational Control FIF Partnership ProgramsUS$5.1 bn None Multi-donor Single donor Level of Pooling ofConcessional Funds

17. WBG and Development Partners Why invest in IDA? • An effective delivery platform • Un-earmarked, country-driven, performance-based • Finance and policy advice to 82 poor countries • Ranked as one of most effective by external reviews • Delivers results, cost effectively and efficiently • Strong results track record, leader in results measurement, flat budget • Builds Institutions and local capacity • Makes all assistance more effective and sustainable • Leverages public & private resources & knowledge • Harness WBG expertise and synergies with IFC and MIGA • Responds to complex, global issues • From debt relief, to food and economic crises, to fragile states • Transparent and accountable • Leader in Open Data and access to information

18. WBG and Development Partners What is the role of Trust Funds? • For the World Bank Group • Fragile & Conflict States, non-member states, countries in arrears • Crisis and emergency response • Piloting innovation • Technical assistance, advisory services • Engagement with Civil Society Organizations • Global Public Goods and global policy issues • For Partners • Targeted support in areas of limited or no presence • Visibility, influence, fiduciary controls, low administrative costs • For Clients • Access to grant financing, low transaction costs

19. Implications for Joint WBG – Partners Work How do we work together to maximize impact? • Emerging World Bank Group Strategic Framework • Country-driven model -- as a base • Country Assistance/ Partnership Strategies: expanding the range of country partners – public, private, Non-governmental Organizations • Corporate Priorities • Link to main strategic goals, comparative advantage, impact • Focus could be sectoral, thematic, Global Public Goods, and/or geographic • Purpose: maximize impact, branding, partnership, corporate and regional fundraising

20. Implications for Joint WBG – Partners Work Questions for discussion • Who do you see the emerging WBG strategy influencing the way we work together? • What are the expectations and guidance of development partners on the implementation of the WBG strategy at the ‘country’ and ‘global’ levels? • What are the implications for the WBG concessional finance business lines, such as IDA and trust funds?