Topic: Important International institutions, agencies and fora- their structure, mandate.
1. Analyze the significance of organisations like World Bank, ADB and NDB, in the developmental process of countries like India.(250 words)
Reference: Economic Times
Why this question:
The Asian Development Bank unveiled a $1.5 billion Covid-19 package for India recently, thus the context of the question.
Key demand of the question:
On has to analyse the role of organisations like World Bank, ADB and NDB, in the developmental process of countries like India.
Analyze – When asked to analyse, you have to examine methodically the structure or nature of the topic by separating it into component parts and present them as a whole in a summary.
Structure of the answer:
Start by highlighting significance of global financial institutions in general.
Briefly explain the coming of and the proliferation of multilateral development banks across the world. Since 1945 the number of multilateral development banks (MDBs) has increased at a linear rate, with approximately one new MDB created every three years. Explain the causative factors responsible for creation of these institutions. Discuss the benefits and advantages they bring to the developing countries like that of India. Highlight the challenges associated.
Conclude with importance of these multilateral development banks (MDBs).