As the leaders of the World Bank undertake the largest reform effort at that institution in nearly two decades, they might do well to look across town to another development bank assessing the impact of its own major reforms.
The reorganization of the Inter-American Development Bank which started in 2006 aimed to cement the bank’s relevancy with client countries, and was arguably more ambitious than the World Bank’s current revamp. But eight years later, a report by IDB’s Office of Oversight and Evaluation finds that the reorganization has fallen short of its goals. The report was quietly released last month, and the bank has been tight-lipped about its response, but the findings could have broad implications for decisions about the bank’s management going forward.
The reforms — dubbed a “realignment” — are still fresh in the memories of many employees at the Washington-based financial institution as they involved a large number of staff cuts and the turnover of almost all of the bank’s management team. It bore the signature of President Luis Alberto Moreno, who had just been elected to lead the institution.