Topic: Effects of liberalization on the economy
5. Critically analyse the performance of World Bank in reducing poverty and promoting sustainable economic development around the world. What reforms are needed in it to make it more effective? (250 words)
Difficulty level: Moderate
Reference: Insights on India
Why the question:
The question is part of the static syllabus of General studies paper – 3 and mentioned as part of Mission-2023 Secure timetable.
Key Demand of the question:
To write a critique of World Bank and suggest possible reforms in it.
Directive word:
Critically analyze – When asked to analyse, you must examine methodically the structure or nature of the topic by separating it into component parts and present them in a summary. When ‘critically’ is suffixed or prefixed to a directive, one needs to look at the good and bad of the topic and give a balanced judgment on the topic.
Structure of the answer:
Introduction:
Begin by giving context of role of World Bank.
Body:
First, write in detail about the significant contributions to development efforts, to reduce poverty and promote sustainable economic development in the country. Cite examples and statistics.
Next, write about the various shortcomings of the IMF – lacking accountability, causing social and environmental harm, promoting neoliberal policies, imposing harsh conditions on developing countries, and contributing to the global debt crisis.
Next, write about the possible reform to make it more effective.
Conclusion:
Conclude by writing a way forward.
