Skip to Main Navigation

Strengthening the private sector in IDA countries (English)

At the IDA14 meeting in Paris in February 2004, Deputies requested that private sector development (PSD) be one of the "special themes" that would be given in-depth treatment during the IDA14 Replenishment process. This paper responds to that request. It summarizes the WBG PSD strategy, provides an update on the implementation of the strategy in IDA countries, and suggests ways of moving the PSD agenda forward. In particular, it addresses issues related to IDA'S support for better investment climate and regulatory environment, increased attention to Small and Medium Enterprise (SME) development, development of public-private partnerships especially with respect to provision o f infrastructure, and enrichment of relationships between IDA, IFC and MIGA. This paper is structured as follows. Sections 1I.A and 1I.B summarize the 2002 PSD strategy and the main shifts in focus in the PSD agenda respectively. Section 1II provides an update on the implementation o f the PSD strategy in IDA countries by the WBG during FY02-04. Within this, Section 1II.A describes the diagnostic instruments used by the Bank to assess the investment climate in client countries. It also describes how this diagnostic work is informing better government-business dialogue and how it forms the basis for results-based monitoring in IDA countries. Section 1II.B describes how the PSD agenda is pursued at the country strategy level as well as in lending operations. It summarizes progress in implementation on key proposals of the PSD strategy and also outlines areas of collaboration with the IFC, most notably on private provision of infrastructure and S M E development. Section 1II.C describes the Bank's efforts towards collaborating, building partnerships and sharing knowledge with other development partners and client countries. Section IV suggests ways of moving the PSD agenda forward.


  • Document Date


  • Document Type

    Board Report

  • Report Number


  • Volume No


  • Total Volume(s)


  • Country


  • Region

    The World Region,

  • Disclosure Date


  • Doc Name

    Strengthening the private sector in IDA countries

  • Keywords

    small and medium enterprise;private sector participation in infrastructure;provision of infrastructure service;delivery of infrastructure service;international development goal;private sector development strategy;investment climate;financial sector development;access to financial service;provision of sanitation service;investment climate reform;Private and Financial Sector;local private sector participation;multilateral investment guarantee agency;Foundation for Sustainable Development;saving and loan association;improving access to finance;Tax Policy and Administration;per capita income growth;business development service;government and business;investment climate issue;efficient resource allocation;business development plan;Project Development Facility;investment climate constraint;sound business environment;expansion of export;small business development;promotion of business;regulatory compliance cost;joint stock company;private sector response;barrier to entry;policy reform agenda;Program of Activities;country investment climate;regulatory policy uncertainty;impact of reforms;Country Assistance Strategies;SME support program;international good practice;information on investment;access to information;financing of investment;increase in prices;transmission and distribution;vulnerability to shock;financial sector assessment;country assistance strategy;corporate social responsibility;project time frame;support sme;electricity distribution company;accountability for results;children at risk;quality assurance group;delivery of electricity;standard of living;lack of resource;global best practice;private sector assessment;policy and institution;diagnostic work;corporate governance;financial system;private provision;competition policy;diagnostic tool;standard approach;diagnostic study;average cost;poverty alleviation;Business Regulation;informal firms;operational staff;operational work;private enterprise;Learning and Innovation Credit;reform process;transaction cost;property right;basic infrastructure;world development;business model;private delivery;private investment;Public Services;business entry;demonstration effect;payment system;international remittance;regulatory burden;knowledge development;collaborative activities;information service;longitudinal data;informal behavior;direct investment;online service;investment opportunities;excessive costs;business partner;investment dispute;mediation services;tracking system;informal enterprise;private investor;infrastructure program;labor supply;private industry;national income;fiscal transparency;non-profit organization;education service;financial policies;Education Services;private education;security market;investment law;administrative barrier;Health Service;private parties;private party;Banking Supervision;insolvency regime;SME sector;poverty agenda;large enterprise;individual enterprise;equity market;catalytic finance;future capacity;creditor right;country operations;enabling conditions;information flow;strategy implementation;deposit insurance;fiscal constraint;company registration;knowledge resource;innovative policy;state utility;local papers;business forum;electricity sector;international bidder;international company;winning bidder;sector model;global monitoring;formal entry;generation capacity;power industry;distribution network;Financial Access;private management;reform outcomes;Cash flow;Capital Investments;baseline information;reform priorities;pilot initiatives;positive correlation;targeted subsidy;urban economy;strategy development;trade regulation;privatization agenda;good governance;broader investment;climate agenda;trade agenda;Trade Logistics;cross-country study;product availability;Public Utilities;adjustment operation;legal institution;power outage;labor productivity;market investment;financial reporting;supervisory capacity;employment generation;private market;private initiative;government effort;operational strategy;private activity;resource scarcity



Official version of document (may contain signatures, etc)

  • TXT*
  • Total Downloads** :
  • Download Stats
  • *The text version is uncorrected OCR text and is included solely to benefit users with slow connectivity.


Strengthening the private sector in IDA countries (English). Washington, D.C. : World Bank Group.