The World Bank has cut its loan fees and raised the maximum amount it would lend to a single country by $1 billion to $14.5 billion, reflecting an increase in its financial capacity. The decisions, approved by the Bank's board, affect countries borrowing from the World Bank affiliate known as the International Bank for Reconstruction and Development (IBRD), which lends to middle income developing countries.
"We've been able to cut our fees and increase our capacity to lend which should help our ability to provide more resources for the poor in middle income developing countries," said John Wilton, the World Bank's Acting Chief Financial Officer and Vice President for Strategy, Finance and Risk Management. "We've been able to do this because the Bank is adequately capitalized and has a favorable medium-term financial outlook," he added.