World Bank approves $1.5 billion financing to support India's reform programmes

📌 Summary:

• The World Bank's Board of Executive Directors approved $1.5 billion in financing to India to support structural reforms aimed at boosting private sector-led job creation and economic growth
• The financing is provided under the Development Policy Financing (DPF) Operation
• Stated objective: support reforms that can create job opportunities for the roughly 11 million youth entering India's labour market every year over the next two decades
• Focus areas: private sector-led growth and employment generation through structural/policy reforms

🎯 UPSC Relevance: GS3 Economy — external development financing, structural reforms, and the demographic-dividend challenge of generating jobs at scale.

📝 Prelims Facts:

• The financing is under the World Bank's Development Policy Financing (DPF) instrument
• Amount: $1.5 billion, approved by the World Bank's Board of Executive Directors
• About 11 million youth are estimated to enter India's labour market each year over the next two decades

🔑 Key Term: Development Policy Financing (DPF) — World Bank budget-support lending that provides quick-disbursing funds to a government in exchange for agreed policy and institutional reforms.