DEFINITION of 'World Bank Group'
Five international organizations dedicated to providing financial assistance and advice to countries struggling with poverty and economic development. The World Bank generally focuses on developing third-world countries, helping them in areas such as health, education and agriculture. This bank provides loans and grants at discounted rates to these countries.
BREAKING DOWN 'World Bank Group'
The World Bank Group was created on December 27, 1945 as part of the Bretton Woods agreement. Its five agencies are:
International Bank for Reconstruction and Development (IBRD)
International Development Association (IDA)
International Finance Corporation (IFC)
Multilateral Investment Guarantee Agency (MIGA)
International Centre for Settlement of Investment Disputes (ICSID)
The term "World Bank" usually refers to the IBRD and IDA, whereas World Bank Group refers to the institutions as a whole.