Organization of the World Bank
The single largest source of development finance in the world, the World Bank provided over $29 billion in loans and grants to 95 countries in 2004-2005. So what power does the President of the World Bank actually have? The President leads the World Bank Group, comprised of:
- International Bank for Reconstruction and Development (IBRD)
- International Finance Corporation (IFC)
- International Development Association (IDA)
- International Centre for the Settlement of Investment Disputes (ICSID)
- Multilateral Investment Guarantee Agency (MIGA)
The President furthermore has power over staff appointments in several critical areas.
The World Bank's organizational structure chart further details the relationships between the President and World Bank staff.
The Office of the President's Management and Senior Staff List provides short bios for management and senior staff members.
The World Bank President Selection Process
On March 31, 2005, the World Bank's Board of Executive Directors unanimously confirmed the nomination of Paul D. Wolfowitz to be President of the World Bank. This comes amidst widespread public outcry against the undemocratic and secretive selection process as well as serious questions about the strategic directions in which Wolfowitz might lead the Bank in years to come, given his highly controversial career.
the President of the World Bank is neither chosen democratically nor is s/he representative of all of the Bank's member countries. By tradition, the World Bank President is a US citizen, and the IMF Managing Director is a European. Although the World Bank President is officially approved by the Board of Directors, in practice the candidate names by the United States is always approved. All World Bank departments report to the President who, importantly, also acts as the chair of the Board of Directors.
The "democratic deficit" in the governance of the institution has come under a storm of criticis, in recent years. Although there was much controversy surrounding the last appointments of the WB and IMF leaders, the illegitimate tradition of allowing the US and Europe to head the two most powerful global financial institutions continues.