World Bank
The World Bank is famous worldwide especially among the developing countries because developing countries and the World Bank have a strong relation as most of the developing countries depend on World Bank for development programs. Whether you talk about building roads, bridges or schools and other institutions the World Bank is always there.

Though most us are familiar with World Bank, but majority of us know about its foundation and actual goals. What does World Bank do? The World Bank offers loans to the developing countries for their development programs like building roads, bridges, schools and for hospitals.  

The formal establishment of the World Bank took place in December 27, 1945, following the ratification of the Bretton woods Agreement. The original concept was put forward at the United Nations Monetary and Financial Conference in July 1944. The first loan was issued after two years after the conference which was $250 million to France, for post war-reconstruction. Later the World Bank made various changes in it's regarding its focus and goals. In different eras, it's focus was different like from the year 1968-1981, their main focus was largely on poverty alleviation. From 80s till 90s their main focus was both debt management and structural adjustment. In this current era, the main focus of the World Bank is on the achievement of the Millennium Development Goals MDGs. The millennium development goal is to eliminate poverty and implementation of the sustainable development.  

The World Bank has two main constituents namely IBRD and IDA. The IBRD lends primarily to the "middle-income countries", at interest rates which reflect a small mark-up over its own, (AAA-rated) borrowings from capital markets. It won't be wrong, if we call IBRD as a market based non-profit organization, using its high credit rating to make up for the relatively low interest rate on its loans. On the other hand, the IDA provides low or no interest loans and grants to low income countries with little or no access to international credit markets. IDA is funded primarily by periodic "replenishments" (grants) voted to the institution by its more affluent member countries. The World Bank's main purpose is to provide aid to the developing countries so that poverty can be reduced.

There are five key factors necessary for economic growth and the creation of a business environment. The first key factor is capacity building which means strengthening government and educating government officials. The second key factor revolves around infrastructure creation, which is about implementation of legal and judicial systems for the encouragement of business, the protection of individual and property rights and also the honoring of contracts. The other key factor includes the development of financial systems, combating corruption, and research, consultancy and training.

From where does the bank obtain its funds for all these operations? The bank obtains its funds through the IBRD's sale of AAA-rated bonds in the world's financial market. The income of IBRD is generated from its activities and IDA obtains the majority of its funds from forty donor countries.        
           
The World Bank offers two types of loans the investment loans and development policy loans. The major areas of operation of the World Bank includes agriculture and rural development, conflict and development, development operations and activities, economic policy, education, energy, environment, and so many others.