The World Bank says that it has found more than half of the $400 million in budget savings that President Jim Kim proposed last year as a part of an effort to make the bank leaner and more efficient — and initial information suggests that the cuts will affect the financial institution’s staff and external consultants as well as partners.
Savings will result from changes to corporate procurement and the engagement of external consultants as well as a reduction of the bank’s real estate “footprint” in Washington.
The “overall objective,” according to a memo posted on the bank’s Intranet last week by Chief Financial Officer Bertrand Badre, is to “grow” the World Bank Group and “strengthen its financial base.” Savings resulting from the expenditure review effort will “stay within the WBG and allow us to provide more and better services to our clients,” Badre wrote.
These measures amount to $108 million, although not all of the savings will be realized in the coming fiscal year, according to the memo. When added to the $100 million in cuts that the bank announced in January, the bank says a total of $208 million in budget savings have been found.