Baku, Azerbaijan, Aug.12
By Leman Zeynalova – Trend:
Net income of the International Bank for Reconstruction and Development (IBRD) was $505 million for the fiscal year ended June 30, 2019, compared with $698 million for the fiscal year ended June 30, 2018, Trend reports referring to IBRD data.
In both fiscal years, the results were affected by net unrealized mark-to-market losses on IBRD’s non-trading portfolios, reads the IBRD report.
“Given IBRD’s intention to maintain its non-trading portfolio positions, unrealized mark-to-market losses and gains are not included in IBRD’s allocable income. $505 million Net Income Allocable income is the income measure IBRD uses for making net income allocation decisions. For the fiscal year ended June 30, 2019, allocable income was $1,190 million, compared with $1,161 million for the fiscal year ended June 30, 2018. The higher allocable income was primarily driven by: increase in loan spread revenue; and increase in equity contribution; largely offset by a loan loss provisioning charge of $54 million in FY19, compared with a release of $28 million in FY18,” said the organization.
The International Bank for Reconstruction and Development (IBRD) is a global development cooperative owned by 189 member countries. As the largest development bank in the world, it supports the World Bank Group’s mission by providing loans, guarantees, risk management products, and advisory services to middle-income and creditworthy low-income countries, as well as by coordinating responses to regional and global challenges.
Created in 1944 to help Europe rebuild after World War II, IBRD joins with IDA, our fund for the poorest countries, to form the World Bank. They work closely with all institutions of the World Bank Group and the public and private sectors in developing countries to reduce poverty and build shared prosperity.
---
Follow the author on Twitter: @Lyaman_Zeyn