Development banks can help resolve global crises

After the survival crisis at the end of the 20th century, the revival and expansion of the multilateral development bank (MDB) system, led by the World Bank, has become one of the most prominent transformations in the global development financing system since the 2008 global financial crisis.

Following the adoption of the United Nations 2030 Agenda for Sustainable Development, multilateral development banks (MDBs) set a goal to increase their capital mobilization capacity from "billions to trillions", reflecting the emergence of a development finance paradigm that lies between government and market forces. More fundamentally, this shift is driven by the growing challenges of financing gaps on the demand side of international development.

In the context of global security, economics and health as well as the environment, the implementation of the UN 2030 Agenda faces significant challenges. Only 17 percent of its targets have been met on schedule, leading to calls for comprehensive reforms of the MDBs in order to make them "better, bigger, and more effective" in tackling these challenges.