World Bank increases amount of funds available for coronavirus response

The World Bank said it had increased to $14 billion the amount of fast-track financing available to members to respond to the global coronavirus pandemic, adding $2 billion to an initial package announced on March 3.

The change will give the World Bank’s International Financing Corp a total of $8 billion to support private companies and their employees hurt by economic impacts of the virus, the bank said.

It said the bulk of the funding would be used by client financial institutions so they can continue to offer trade financing, working capital and medium-term financing to private firms struggling with disruptions in supply chains.

IFC said the funding would also help existing clients in tourism, manufacturing and other heavily affected sectors keep paying their bills, while aiding the healthcare industry as it races to meet surging demand for services, equipment and drugs.

World Bank President David Malpass said the bank was committed to provide a fast and flexible response based on the needs of developing countries.

"It’s essential that we shorten the time to recovery. Support operations are already underway, and the expanded funding tools approved today will help sustain economies, companies and jobs," Reuters cited Malpass as saying.