Your questions answered by The World Bank President

We all know information-sharing and feedback is critical in business – and in life in general. It’s a treat when you get to exchange ideas with an astute group of people like my friends on LinkedIn. Earlier this month I invited you to ask questions about the work of my organization, the World Bank Group. Last week I sat down with LinkedIn Executive Editor Daniel Roth to answer them. You left more than 200 on my blog post in a little more than a week. I answered a few with Daniel – see the short video clips below. But I want to address several topics I couldn’t cover then.

First let me sayyour thoughtful questions were great. You asked about the World Bank Group’s work and whether it’s really possible to end extreme poverty. You wanted to know how we deal with corruption and other challenges. Many of you asked what you, personally, could do to help end extreme poverty.

This question is representative: With the goal of ending poverty by 2030, what can we do individually as everyday people to collectively contribute in equalizing and unifying the world for greater change? (asked by David Joohun Kim, pre-medical student, suicide hotline volunteer, creator of Feel Good Toronto).

The World Bank Group’s goal to end extreme poverty by 2030, and a related goal to boost “shared prosperity” in the developing countries where we work, is supported by our 188 member countries. Reaching this goal will require innovative solutions and the efforts of many.

To end extreme poverty, I think it’s going to take nothing less than a global movement involving not only governments and development institutions but all of society, including the private sector, non-governmental and nonprofit organizations, civil society organizations, and communities.

I’m very happy to report that last week more than 30 influential faith groups formally endorsed our poverty goal. Their support could make a huge difference.

Support from individuals is also very important. You can help on any level, from simply voicing your support in your community or on social media, to donating to charity, volunteering, working in international development, or even doing well in your own job. Some of the best solutions for ending extreme poverty could come from something you’re working on right now.

Several of you asked about our loans and debt relief, such as Carlos Roa, a project coordinator: “Why don’t you forgive interest rate to the external debt of third world countries or, in the best scenario, to forgive it completely?”

We have a special fund, called IDA, made up of contributions from our wealthier members. This fund provides grants and zero-interest loans to the poorest countries.

We also lend to middle-income countries at low-interest rates by raising money on the capital markets.

In 1996, the World Bank Group and International Monetary Fund launched a debt-relief program; since then, 35 out of 39 countries eligible for debt relief have received it. We’re committed to helping low-income countries achieve their development goals without creating future debt problems.

Many of you worried about the economy and jobs. Gabrielle Anshewitz, a senior sales associate for Speedway LLC, asked: What type of support will be offered to countries with emerging market economies to ensure healthy, steady growth?

The private sector creates 90 percent of all jobs, and economic growth has been a major factor in lifting 1 billion people out of poverty since 1990. That’s why private sector development is crucial. Our International Finance Corporation (IFC) helps countries build their capital markets to increase access to financing for local business. IFC also invests in a country’s banks or other institutions to encourage lending to entrepreneurs and micro, small and medium businesses, and others.

We’ve estimated developing countries need $1 trillion in additional financing for infrastructure providing access to energy, water and sanitation – all of which would greatly benefit billions of people and help the private sector grow.

That’s much more financing than official development assistance from the World Bank Group and other development banks can provide. We’re now working with some of the world’s largest asset management and private equity firms, pension and insurance funds, and commercial banks through our new Global Infrastructure Facility to unlock billions of dollars for infrastructure in the developing world.

But, economic growth alone is not enough. Nearly 1 billion people still live in extreme poverty. The reasons why development fails or doesn’t happen include fragile or unstable governments, conflict, drought or other disasters, corruption, social and economic exclusion, and lack of access to education, health and other services, and to opportunity. Our projects and programs are aimed at addressing these problems, too.

The economy can be greatly affected by a health or other shock, as we learned from Ebola. Attorney Joy Oluchi Nwala, founder and CEO of Joy Oluchi Nwala International Law Firm, asked: How ready are we in case we find ourselves in a situation such as that of Ebola, how do we tackle poverty and economic down turn?

The Ebola crisis has made clear the significant economic downsides of failing to invest adequately in the health sector. Guinea, Liberia, and Sierra Leone have lost at least $1.6 billion in income. The outbreak claimed more than 10,000 lives, including many health workers, and highlighted the fact the global health system is ill-prepared for outbreaks and ill-equipped to respond to them. To help remedy this, the World Bank Group is developing the concept of a global pandemic emergency facility.

Like other investments in people, investing in health is imperative for economic growth and poverty reduction. We studied health systems around the world and found that universal health coverage is a smart investment in developing countries. An estimated 1 billion people lack access to health care. Often, when they do have access, health care costs can force people to make great financial sacrifices. An estimated 100 million people fall into poverty each year to pay for health care. TheWorld Bank Group and the World Health Organization launched a framework last year to guide countries interested in moving toward universal health coverage.

You wanted to know how the World Bank Group measures its results, and what we’re doing to improve. Duraisamy Rajan Palani, Director – Quality & International Business at Archimedis Healthcare Pvt. Ltd., asked: When you fund a developmental program of a nation, how do you measure the success of the same?

We have always collected evidence, but data usually lagged behind development efforts. When we set our 2030 goals, I said I would track progress in real time. OurPresident’s Delivery Unit website shows how we’re doing on specific targets, such as our response to the Ebola crisis and our efforts to increase citizen engagement. One of our goals is to gather feedback from 100 percent of the direct beneficiaries of our projects and incorporate their feedback. This will be key to making sure we keep improving our results.

All the World Bank Group’s work, in every sector, is focused on the overarching goal of ending extreme poverty and boosting shared prosperity for the bottom 40 percent of the population in developing countries. These goals are not just our goals – they’re the major challenges of our time. We can be the first generation in history to end extreme poverty. As Jenny Pierre-Louis, administrative assistant at TALK Corporate, observed: “This sounds promising, with the use of the web, it is becoming much easier to connect thousands of people for a goal. This is not a dream – extreme poverty can end, it does start with all of us.”

This article is published in collaboration with LinkedIn. Publication does not imply endorsement of views by the World Economic Forum.

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Author: Jim Kim is the president at The World Bank.

Image: World Bank President Jim Yong Kim delivers remarks. REUTERS/Jonathan Ernst.