Germany and ten other industrialized countries have pledged an additional $11 billion (the equivalent of about €10.3 billion) in financing to the World Bank. As the multinational development bank announced on Friday, its ability to lend to developing countries will increase by up to $70 billion over the next decade.

The additional funds are intended to finance three credit instruments that will allow the World Bank to address “further risks to common global challenges.”

Germany had already promised 305 million in funds in the fall

In addition to Germany, Italy, France, the USA, Great Britain and Japan, among others, have committed to providing additional funds. The Federal Development Ministry said Friday that the new financial commitments would give the World Bank additional funds “to combat climate change, pandemics and other global tasks.”

For this reason, Germany had already promised 305 million euros last fall in the form of hybrid capital or guarantees to the World Bank. It is “encouraging how well the World Bank is able to achieve constructive multilateral cooperation even in these geopolitically tense times,” explained Federal Development Minister Svenja Schulze (SPD).

By 2030, developing countries are expected to need $2.4 trillion a year.

World Bank President Ajay Banga said his institution has “worked hard to develop these new financial tools that will increase our lending capacity, multiply donor resources, and ultimately allow us to improve the lives of more people.” .

The bank previously estimated that the world's developing countries will need an average of $2.4 trillion annually by 2030 to address “global challenges such as climate change, conflicts and pandemics.”