The World Bank Group mobilised a cumulative 36 billion in private capital for India over four years, including 9.6 billion for Micro, Small and Medium Enterprises (MSMEs). Private capital mobilisation rose from about 3 billion in fiscal year 2022 (FY22) to 14.5 billion in fiscal year 2026 (FY26). The figures were noted on 14 October 2026 by Manuel Reyes-Retana, Division Director for South Asia at the International Finance Corporation (IFC).
World Bank Group and Private Capital
The World Bank Group comprises five institutions: the International Bank for Reconstruction and Development, the International Development Association, the International Finance Corporation, the Multilateral Investment Guarantee Agency (MIGA), and the International Centre for Settlement of Investment Disputes. The IFC provides financing and advisory services to private-sector businesses in developing countries. MIGA offers political risk insurance and credit enhancement to investors and lenders. Guarantees from the IFC and MIGA have been used to attract institutional investors to projects in India; these investors are familiar with the group’s underwriting standards and governance practices. The $36 billion figure represents private capital mobilised for development across sectors. The reported increase from FY22 to FY26 was nearly five-fold.
MSME Finance and TReDS
The World Bank-backed Raising and Accelerating MSME Performance (RAMP) programme has a funding amount of $436 million and supports reforms aimed at improving MSME performance. One reform concerns the Trade Receivables Discounting System (TReDS), a digital platform through which businesses can obtain finance against unpaid invoices. The programme has helped more than 2.5 lakh MSMEs access capital faster, and 30 non-banking financial companies have joined the platform. Invoice discounting converts a receivable due at a later date into funds available to a business earlier.
Credit Guarantees for Women-Owned Businesses
Credit guarantees for women-owned businesses increased from 14 per cent to 18 per cent over two years. The guarantees generated more than $1 billion, according to figures available in October 2026.
Important Facts for Exams
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- The World Bank Group comprises five institutions, including the IFC and MIGA.
- The IFC is the World Bank Group institution focused on private-sector development in developing countries.
- MIGA provides political risk insurance and credit enhancement for investors and lenders.
- TReDS is a digital platform for financing trade receivables, including unpaid invoices.
