International finance bodies play key role

A new report finds that international finance institutions play a key role in catalysing job creation and growth through the private sector in emerging markets, particularly as governments face increased pressure on public resources.

The report, International Finance Institutions and Development through the private sector, was produced by 31 international finance institutions (IFIs) and was launched during the World Bank-International Monetary Fund Annual Meetings.

IFIs provides the private sector in developing countries with critical capital and knowledge.

Private sector direct foreign investment finance has reached over $40b in commitments a year about 5 percent of capital flows to emerging markets, IFIs help companies set standards and manage risk in areas such as environmental and social standards; corporate governance; health and safety, sponsor and business integrity; labour and human rights; revenue transparency; and international financial reporting, IFIs catalyse additional financing from other private sector players.