Multilateral Development Banks (MDBs)
Multilateral Development Banks play a key role in providing developing countries access to financing and technical expertise to eliminate poverty and promote sustainable development.
Switzerland is a member of the World Bank Group (WBG), the African Development Bank (AfDB), the Asian Development Bank (AsDB), the Inter-American Development Bank (IDB), the Asian Infrastructure Investment Bank (AIIB), as well as the European Bank for Reconstruction and Development (EBRD). It is represented on the various boards as part of a constituency of shareholders and helps shape strategic and operational policy.
SDC and seco (State Secretariat for Economic Affairs) are jointly responsible for Switzerlands engagement with the MDBs. Seco has the coordinating role for all institutional processes with the World Bank and the Regional Development Banks. SDC manages Switzerland’s core contributions, including to the funds managed by these development banks. Switzerland's contributions help to promote inclusive and sustainable development and finance the needs of the poorest countries' populations. The Federal Finance Administration and the Swiss National Bank have the lead for all interactions with the International Monetary Fund (IMF).
As a shareholder of MDBs, Switzerland has an interest to influence these institutions at appropriate levels. Swiss Cooperation Offices representing Switzerland's overall program should use the numerous opportunities at country level for getting involved in strategic or operational discussions with MDBs. Beyond that, their field experience and context knowledge are essential to inform Switzerland’s positioning in MDB’s Executive Boards.
To fully use all mechanisms of steadily improving multilateral operations (with the overall goal to improve livelihoods of the poorest in the developing world), SDC colleagues need a minimal understanding on how MDBs function and how we can take influence. SDC's network activities serve as a mean to draw on knowledge, experiences, views, and practices from all sides. We encourage you to actively participate in these network activities.
For a short guide on multilateral development banks please consult this sheet:
African Development Bank (AfDB)
The African Development Bank Group (AfDB) is the leading multilateral development finance institution focused on Africa and an important partner for Switzerland to achieve the 2030 Agenda for Sustainable Development. The AfDB is majority-owned by African countries.
Asian Development Bank (ADB)
The Asian Development Bank (ADB) was established in 1966. It aims to eradicate extreme poverty and foster inclusive, sustainable and resilient growth in the Asia and Pacific region by providing loans, grants, equity investments and technical assistance to its member countries. It facilitates policy dialogue, offers advisory services and mobilises financial resources through co-financing operations.
Asian Infrastructure Investment Bank (AIIB)
The Asian Infrastructure Investment Bank (AIIB) is a financial institution that focuses on investing in infrastructure to promote sustainable economic development in Asia. In addition to investing the bank's own funds, it also mobilises public funding and private capital.
The International Development Association (IDA, World Bank Group)
The International Development Association (IDA) is the part of the World Bank Group (WBG) that helps the world's poorest countries end extreme poverty and build shared prosperity in a sustainable manner. It aims to reduce poverty by providing loans and grants for programs that boost economic growth, reduce inequalities, and improve people's living conditions.
Inter-American Development Bank (IDB)
The IDB, as the main multilateral source of financing in Latin America and the Caribbean (LAC), offers support to countries in the region through credit lines or non-repayable grants. Policy dialogue with partner governments and expertise-sharing are additional instruments of the IDB. In recent years, the IDB has become an important stakeholder in the domain of climate change.