Developing countries face tremendous financing needs to meet the Sustainable Development Goals and address critical global development challenges. The World Bank is exploring a range of options to stretch its own capital and to expand private capital mobilization as part of its Evolution exercise. In this context, stakeholders have expressed interest in the Multilateral Development Banks (MDBs)’ historical credit loss experience.
As the MDB with the largest and longest sovereign lending data, IBRD undertook an exercise to gather data of its entire borrower default history, starting from its first default in FY1985. This report presents the key loss rate statistics (default rates and losses given default) covering the entire history of borrower defaults at the IBRD.
The publication of these statistics will provide useful information for the broader stakeholder group such as credit rating agencies. IBRD will also share the data with the Global Emerging Markets Risk Database Consortium (GEMs) for the pooled MDB statistics.
