World Bank Loans to Developing Nations Jump to $150billion

As developing countries face economic headwinds,the World Bank on Monday, April 11, said it expects its non-market rate lending total for the past four years to tower more than $150 billion.

The global lender has also forecasted that its non-market rate lending will hit $43 billion in the current fiscal year.

According to the world bank, its International Bank for Reconstruction and Development (IBRD) and International Development Association (IDA) divisions are on pace to exceed the combined $42.4 billion reached in the fiscal year ended July 1, 2015.

IBRD lending in fiscal 2016 will exceed $25 billion, compared with $23.5 billion in fiscal 2015. A decade ago, the IBRD lent about $14 billion but peaked at $44 billion in fiscal 2010 as the financial crisis stoked demand from middle-income countries.

In February, the World Bank signed a deal with Peru for $2.5 billion in credit lines to help the Andean copper and gold exporter cope with lower global commodity prices and budget pressures. The bank is also in talks with oil exporter, Nigeria, on loans tied to policy reforms.