Devex Invested: What’s on the menu in Marrakech

Ajay Banga started his term as World Bank president this year by traveling the globe listening to countries’ needs. Now, with the bank’s evolution road map up for discussion at this week’s annual meetings of the bank and the International Monetary Fund in Marrakech, Morocco, it’s time to act.

A G20 report in July set out the challenge to more than triple the current pace of lending, but shareholders have different views on how to get there. Greater use of loan guarantees and hybrid capital are among the moves likely to be discussed at the meetings, with Reuters reporting that the U.S. Treasury is working on new rules on callable capital with an eye to reaching decisions in April 2024. We will be following the latest recommendations of the G20 independent expert group coming out on Friday.

The World Bank has a “new playbook,” which sees it becoming more open, creative, faster and easier to work with, while also offering countries a new set of financial “tools.” This was laid out by Anna Bjerde, the World Bank’s managing director of operations, at a panel event in Marrakech earlier today. The change is needed in the face of growing instability, shocks, and other “intertwined challenges,” to use one of Banga’s favorite phrases. In response, the bank must have a “whole different mindset,” Bjerde said.