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Question

Consider the following statements in respect of the International Bank for Reconstruction and Development (IBRD):

I. It provides loans and guarantees to middle income countries.

II. It works single-handedly to help developing countries to reduce poverty.

III. It was established to help Europe rebuild after the World War II.

Which of the statements given above are correct?

The correct answer is

I and III only 

The correct statements are I and III only.

Why:

I. It provides loans and guarantees to middle income countries.
Correct. The IBRD provides loans, guarantees, risk management products, and advisory services to middle-income and creditworthy low-income countries.

II. It works single-handedly to help developing countries to reduce poverty.
Incorrect. The IBRD does not work single-handedly. It works as part of the World Bank, alongside IDA, which supports the poorest countries.

III. It was established to help Europe rebuild after the World War II.
Correct. The IBRD was created in 1944 to help Europe rebuild after World War II.

Answer: I and III only

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