Multilateral Development Bank - MDB

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DEFINITION of 'Multilateral Development Bank - MDB'

A financial institution that provides financing for national development. The bank is formed by a group of countries, consisting of both donor and borrowing nations. Furthermore, an MDB offers financial advice regarding development projects.

INVESTOPEDIA EXPLAINS 'Multilateral Development Bank - MDB'

The best-known multilateral development bank is the Word Bank, which extends loans and credits to a plethora of countries. Other popular MDBs include the African Development Bank and the Asian Development Bank.

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