The challenges of globalization : the role of the World Bank

Abstract

This is the address given by the World Bank Group's President, Mr. James D. Wolfensohn, to the Bundestag at Berlin, Germany on April 2, 2001. Globalization is about risks as well as opportunities. These risks must be dealt with at the national level by managing adjustment processes and by strengthening social, structural, and financial systems. And at the global level, a strong international financial architecture should be established to fight deadly diseases, to turn back environmental degradation, and to use communications to give voice to the voiceless. The challenge is to make globalization an instrument of opportunity and inclusion: globalization must work for all. In low-income countries, the Bank must work with governments to put in place strong governance, effective legal and judicial systems, and a robust financial system, and to assist in the fight against corruption. For the middle-income countries, the Bank's engagement will be focused on the provision of secure long-term funding and advisory services, creating the right policy and institutional framework, and addressing weaknesses in the social, structural, and sectoral policies and institutions. As part of the Strategic Framework, three areas will be focused on: communicable diseases, trade expansion, and supporting the national policies to strengthen market institutions and infrastructure.