Topic – Important International institutions, agencies and fora- their structure, mandate.
4) Critically analyze the role international finance agencies play in ushering in an era of sustainable development?(250 words)
Why this question
The article talks about the impact that multilateral finance agencies have on the development paradigm and the crucial role they play in ensuring that development becomes sustainable and more suited to local needs. A critical analysis of their role is necessary because several developmental projects in India are funded by these agencies.
Key demand of the question
The question expects us to first explain how international finance agencies impact the paradigm of development and how their role has become more important in present times. Thereafter we need to bring out the positive and negative impacts of their role and the ways in which reform in their functioning is required.
Critically analyze – You need to conclude with a fair judgement, after analyzing the nature of each component part and interrelationship between them. You need to conclude with a fair judgement, after analyzing the nature of each component part and interrelationship between them.
Structure of the answer
Introduction – Highlight the growing number of international finance agencies who seek to bridge the infrastructural deficit.
- Discuss how these international agencies impact the paradigm of development – with the rolling back of state a lot of finance for these projects come from them who follow certain standards of their own depending on what their conception of development is.
- Examine the pros and cons of their role in making development more sustainable. Pros such as triple bottom line approach, investing in projects with social merit etc. Highlight cons such as paying lip service to sustainable development, highlight some cases where WB and IFC have been caught on the wrong foot etc
Conclusion – Present a fair and balanced view along with way forward.