The World Bank has to operate more efficiently before talks can begin on increasing its capital assets, Dutch trade minister Lilianne Ploumen said at the weekend, after the bank’s AGM in Washington.
The bank has begun arguing for increase in the institution’s capital base in order to meet the UN’s ambitious development goals.
However, Ploumen said that she first wants to see what extra savings and a different allocation of the bank’s current resources can deliver, news agency ANP said.
The bank has already made savings of $400m in recent years but there is still more to be done, Ploumen is quoted as saying. In particular, she said, there is room to reduce bureaucracy by decentralising some activities.
An actual decision on strengthening the bank’s capital base is expected next spring.
Ploumen told MPs ahead of the meeting that the Netherlands wants to make sure that the World Bank has a proper strategy and clear targets for its plan to eradicate severe poverty by 2030 before agreeing to extra funding.