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Write a note on the functions of World Bank.

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World Bank is playing main role of providing loans for development works to member countries, especially to underdeveloped countries. 

The World Bank provides long-term loans for various development projects of 5 to 20 years duration.

1. World Bank provides various technical services to the member countries. For-this purpose, the bank has established The Economic Development Institute and a Staff College in Washington. 

2. Bank can grant loans to a member country up to 20% of its share in the paid-up capital. 

3. The quantities of loans, interest rate and terms and conditions are determined by the bank itself. 

4. Generally, bank grants loans for a particular project duly submitted to the bank by the member country. 

5. The debtor nation has to repay either in reserve currencies or in the currency in which the loan was sanctioned. 

6. Bank also provides loan to private investors belonging to member countries on its own guarantee, but for this loan private investors have to seek prior permission from those counties where this amount will be collected.

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