The World Bank role and Its Historical Evolution



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Introduction. 1

The Historical Evolution of the World Bank in matters concerning Human Rights. 3

The Mandate of the World Bank on matters that concern the nation state and human rights. 8

The Rights Based Approach. 10

Social Accountability. 12

Recommendations. 13

Conclusion. 14




The World Bank is known to many as one that provides monitory aid to mostly developing countries. When the World Bank started its operations, it dealt with the mentioned matter. Throughout the historical evolution of the World Bank, it has undergone a transformation in its strategy. It now seeks to engage in matters, which are considered to be political, and those dealing with human rights. Developing countries, through the World Bank’s assistance, are now aware of their rights and want more involvement in government. The World Bank seeks to use social accountability and the rights based approach as its tools in enhancing human rights. The relation, which exists between nation states and the World Bank, has been mentioned. The system of nations influences the relations, which the World Bank has with various countries. The research recommends that the World Bank should do more to include matters on human rights in its mandate. Lastly, it concludes that the World Bank should be recognized as it has a vital role in the society.

Key Words: World Bank. Rights Based Approach, Social Accountability, Nation State System, Human Rights.




For many years, the rates of rapprochement have taken place at an extremely fast pace. In turn, it has led to many parties engaging in dialogue with each other. Communities have to be developed, as well have human rights issues have to be discussed. Forums have been held to ensure the spheres are promoted, since they are interdependent. Scholars have made progress in an attempt to bring about development through an integration, which is conceptualized. Furthermore, the use of an approach, which is rights base, has assisted in advocating for matters concerning human rights. According to the United Nations Declaration, people are  protected by the Right to Development. In turn, many policy analysts have engaged in research, in order to find out more concerning it. The analysts seek to find out the responsibilities, duties that are contained in the UN Declaration (World Bank, 2004).

A conflict exists between evolution and the approach that is rights based. The latter plays a significant role in matters that concern the community of human rights. Globalization has impacted the world, and in turn, it influences nation states. The World Bank is extremely interested in matters that concern regimes, which constantly engage in acts that are inhumane. Other players fascinated by this critical matter are policy makers, presidents, among other key personnel. An increase in the number of concepts in this area of human rights cannot be ignored. They include concepts such as transnational social networks, corporate social responsibility, as well as the global compact. An international organization, such as the World Bank, has expanded its interest in matters that are considered gray (World Bank, 2004).

There has been a lot of controversy surrounding the World Bank concerning its score card on human rights matters. It is a known fact that the World Bank’s relative share on matters concerning capital transfers is decreasing quite fast. The latter occurs when it is involved in projects in the countries that are developing. It should be known that the World Bank is not only interested in financial matters, but even issues on human rights. As a result of country dialogue, and lending that is structurally adjusted, the World Bank assumes its role. Moreover, it acts as a catalytic guarantor when developing countries need to borrow loans. Its impact on the world that is developing cannot be denied, as the livelihood of many people has improved due to it. Some of the projects concerning human rights, which have been aided by the World Bank includes; Chad Cameroon Pipeline and the Narmada Dam. The projects have been criticized as they have been harmful, and in turn, affected the image of the World Bank.

Many environmental policies, as well as a comprehensive framework had to be formed. The World Bank did not have an appealing environmental record, and it had to find a way to improve its image. The institution has had to find ways of being ambiguous, and at the same time, treat the matter as it ought to be. Many allegations concerning violations on human rights are now being addressed by the institution. The charter, which the World Bank abides by, is extremely oscillated, and there is no policy that it follows concerning human rights. The only key issue, which exists, is that it should not participate in activities, which are political. It is also, only allowed to associate itself with matters that are related to the economy. According the World Bank charter, it seeks to expand its de facto and its human rights territory. It seeks to make sure that in its operations, there is an inclusion of conditionality’s of human rights. In the current market place that is global, the World Bank is under extreme pressure to change its raison detre. World leaders are also pushing for the World Bank to change how it relates with people, especially those under abusive regimes (World Bank, 2004).

This paper seeks to give a critical analysis concerning the role and the historical evolution of the World Bank in matters that concern human rights. Furthermore, it seeks to analyze the relation that exists between nation states and the World Bank, in addressing the human rights problem.

The Historical Evolution of the World Bank in matters concerning Human Rights

A tension, which is considered narrow, has existed for a long time in the World Bank’s history. It has sort to understand itself despite being known to be technocratic as well as an agency interested in economic matters. The World Bank has been involved in projects, in order to make its mandate be broad. During the period of the 1960’s, a skirmish affected the World Bank. At that time, resolutions were passed by the United Nations General Assemblies and were referred to as being ‘requesting’, ‘urging’ as well as ‘inviting’. It demanded that money was not to be given to Portugal and South Africa by the World Bank. The two countries were involved in matters concerning colonial polices and the apartheid respectively. As it is expected, the Bank became defiant and did not follow the instructions given to it by the United Nations. Instead, it approved many loans, and defended itself by claiming it had a character that is apolitical, as an act of defiance. It seems that the World Bank had started becoming defiant to matters concerning the United Nations Resolutions.

From the years 1968 to 1981, McNamara headed the World Bank, and he ventured into new activities. By engaging in infrastructure projects, which are large scale, it sort to change how people viewed it. In an effort to end poverty in the developing world, it made sure to increase economic growth in its ventures. In turn, it focused its attention on policy based lending from the former projects. Towards the 1980’s, the World Bank initiated a campaign whereby, it engaged in the adjustment of structural loans. In due time, the macroeconomic policy, which it had, had evolved in to something with extreme worth. It had found its way to ensure that public institutions and polices were to be re-engineered to a fully fledged extent. It justified its initiatives by claiming that it had to create environments, which were enabling. Moreover, it had to come up with politically viable reforms as part of its political domain.

In the year 1989, a border existed between economic and political issues, and the matter was extremely blurry. World Bank conducted a study in that year, and found a solution to improving development in African Sub Saharan countries. They found out that a method of fostering development, which is long term, would be achieved through good governance. Also, human rights and the law had to be respected, as it promoted good governance. Up to date, the World Bank has not ceased trying to find its ways through governance matters (World Bank, 2004). Unfortunately, the new stance taken by the World Bank could not escape from being challenged. Some of the recipients of the money given by the World Bank believed that their matters were being intruded upon. They believed that their political autonomy was not safe, but they could not do anything to change the situation. Furthermore, donor countries were extremely welcoming the new move by the World Bank. They claimed that the approach contributed towards the rule of law, transparency and accountability.

The situation had attracted a lot of attention, and the leaders at the World Bank had to give guidance and clarity concerning the matter. The Bank’s Chief Counsel was appointed to fund out where politics began, as well as the point whereby economics ends. He had to find an answer to questions of a scholastic nature through any means possible (United Nations, 2003). In turn, he came up with various publications and memos, as part of the findings of his research. He claimed that the Bank had a mandate to engage in politics, but only to a conservative extent. Even more, in some situations, human rights issues had to be addressed by the World Bank. At the beginning of the 1990’s, there was expansion and strengthening of the Bank’s operational policy framework. Since there were many activities going on at the time, the various parameters increased significantly. They took up this routine in a systematic fashion, which could easily control their interactions. The new strategy meant to increase the number of shareholders as well as their participation. The latter sort to safeguard policies, in order to Increase the participation of the various people involved.

The Bank’s operations, which are mainly legal, social and environmental, would be implicated in the future. Some of the policies had direct implications on matters concerning human rights. They included indigenous people and involuntary resettlement policies. In turn, they made their way into vital aspects of operations at the World Bank. In order to attain accountability, the policy reforms were extremely beneficial (World Bank, 2004). Operations within the bank were hampered as implementation became difficult, due to the flaws that existed. An example of how the latter took place is during the Indian Narmada Dam Issue, and a report was produced. Another report known as Wapenhans, presented the World Bank’s internal operations (United Nations, 2003). It showed matters taking place on the ground that disconnected implementation and policy guidance. The reports expressed that a mechanism for accountability had to exist, and the matter was quite pervasive. Luckily, the establishment of an inspection Panel took place in the year 1994. The established institution is regarded as a human rights landscape of an organ, which is quasi-judicial. It means that people could receive recourse, in case the World Bank harmed them. Other banks, which were engaged in development activities, were to follow the same mandate.

The World Bank leadership soon changed and this took place at the same time the Inspection Panel was established. In a bid to increase the Bank’s scope of operation, Wolfensohn the new president, continued with the progress. He even made sure to go into other areas including anti-corruption, Post-conflict reconstruction and cultural development. He went as far as making sure that issues concerning governance were solidified. World Bank’s lending arm with concessionary abilities came up with its own governance conditionality. The agreement took the name IDA12, which meant that in order for any economy to grow, good governance had to exist. It will also help in bringing about the effectiveness in matters dealing with governance. According to the agreement, four dimensions of governance exist. They include; a framework that is legal and stable. According to the agreement, the dimensions of governance exist. They include; a framework that is legal and stable, as well as public institutions, which are competent and accountable. Also, civil society and affected groups participation and practices, as well as policies that are social. Moreover, the agreement claimed that a country’s ability depends on many factors, which are vital. It can bring about reduced poverty, social and economic development (United Nations, 2003).

If the factors were to be addressed, they would be in line with the mandate, which the IDA had. Most of the countries, which are least developed, are often selected to receive loans from the IDA. The divide that existed between economics and politics caused many problems for the World Bank. The employees working at the bank were divided on matters concerning political and civil rights. They did not want to acknowledge the nexus that existed between development and good governance. ‘Development and Human Rights’ is a publication of the World Bank in the year 1998. It provided details concerning the cultural, social and economic rights of various countries. Other human rights issues were mentioned as well as they indirectly affected governance. A criterion for performance based on the replenishment of the IDA was widely endorsed. Wolfensohn had to come up with a way of developing World Bank’s paradigm. He came up with the Comprehensive Development Framework that had a development holistic approach. It attempted to find a balance in policy making by ensuring that the different elements are known. They are elements, which are financial, economic, environmental, governance, human, structural and social. The World Bank faced an opportunity, as well as challenge, due to the CDF’s bold language. It even had to review the interpretation of the CDF and the Articles of Agreement.

The Mandate of the World Bank on matters that concern the nation state and human rights

On the other hand, in any international system, actors which are cultural, social, economic and political have to exist. Most times, the nations states come together in order to form their own political unions. Currently, there are many nation states coming up, and they will face many difficulties. Various realities, which are social, economic and politically based, will have to be known. Relations exist between nation states and the World Bank, as they both help countries, which are developing. The United States is a nation state, and even the leading super power in the world. Most times, it works hand in hand with the World Bank in matters concerning lending money. The United States can choose and advise on, which countries should receive donor support or not.  World politics is often controlled by nation’s states, due to the vast power that they hold. When it comes to matters concerning debt issues, financing, management and other economic issues, the World Bank has a role to play. It affects the relationships, which occur between the poor and the rich countries (World Bank, 2004).

The nation’s states have an interest in human rights issues, as they believe that it is their mandate to do so. Most recently, the World Bank has diversified and has introduced initiatives in the sector of social accountability. They can be witnessed in countries such as Uganda, Albania and Peru. It is believed that a right can be easily achieved through having social accountability. Governments should ensure that their citizens are responsible by always making them accountable for their actions. Human rights defense and promotion is extremely vital in the modern world. Many countries have signed cultural, social and economic rights, as well as the International Covenants on Civil & Political Rights. Article IV is one that the World Bank seems to constantly violate, as it has not come up with measures that are adoptive. In the Article of Agreement’s tenth section, any person with affiliations with the World Bank should not be Involved in any political matters. They should not support any political party even if they are members of a nation state. There are some countries, which are notoriously known for engaging in affairs, which are political, and have a record on human rights. Various methods have been introduced by the World Bank in order to discuss human rights. During the Universal Declaration of Human Rights fiftieth birthday, a commitment towards human rights promotion was signed by the World Bank.

The Universal Declaration provides useful information regarding how rights will be fulfilled. In many developing countries, the Bank helps through the provision of nutrition, health care, primary education, environment, housing and sanitation. There is proof to show that more than a million people have benefited from the services offered by the World Bank. People have in turn acquired and known their social and economic rights (World Bank, 2004). The Universal Declaration also gives information regarding how the World Bank is involved in matters that strengthen human rights. The latter is possible, as it has brout about accountability, improved transparency, as well as fight corruption. Also, financial sectors have been modernized as well as judicial systems have been strengthened. This means that people now have an opportunity of being involved in matters that concern human rights, as a right environment has been created by the World Bank.

It should not be forgotten that Globalization has affected the manner, which the World Bank conducts itself. Economic liberalization and technological innovations have led world markets to open. The United States has in turn found ways to ensure that people, even those living in developing countries, have an opportunity of consuming products. This is an example of how America, which is a nation state, contributes to the economic development of countries, which are developing (Paul, 2002). Countries in the developing world are known to receive at least a quarter of FDI flows, in the world. As the years progress, the figure seems to fluctuate, the World Bank wants to solve the situation. The World Bank is urging developing countries to integrate to foster economic development. The United States integrated and today enjoys an economy, which is booming. Individuals should have access to funds, if they are to develop in any way, as has been witnessed. The latter are issues addressed by the World Bank as well as the International Monitory Fund.

The Rights Based Approach

The discourse and practice of human rights by the World Bank is evidence that a lot of positive things will take place eventually. In fact, Nation states are being encouraged, especially by the United Nations, to engage in practices that promote human rights. This seems to justify the reason why the United States feels the urge to make sure that regimes are not inhumane towards their citizens. For example, the United States sent its troops to Iraq as the condition, which existed in that country, were in humane. People were denied the opportunity to exercise their rights, and even the World Bank had to get involved in this pressing matter. The World Bank ceased to offer any kind of assistance to Iraq until the regime that existed would stop all it heinous activities. By engaging in human rights issues, the World Bank is indeed working within its strategy. It has changed the perception, which people had about it, as it now has a stake in matters that are political. It justifies itself by claiming that it is being ethical and moral by participating in human rights matters. Furthermore, it only does so, in order to bring about economic development in the various countries (Harbeson, & Rothchild, 2000).

Through using the rights based approach; the World Bank only seeks to use an intervention method, which will have a positive outcome. When the basic necessities of individuals are fulfilled, it becomes easy to realize human rights. The latter has the ability of solving matters concerning basic necessities, and this is according to the World Bank. There is a lot of argument concerning the mentioned statement. The argument assumes that human rights and economic development can be promoted to be one issue. The perspective offered by the World Bank is viewed as being one that adds no value. It is not possible to merge economic development and human rights. There is a need to distinguish conditionality and international pressure from their applications. In using the Rights Based Approach, matters such as if citizens have their rights respected, are not of importance. Even, if a development project will be successful or not does not matter. The most vital aspect is whether the various development tasks that are being used and in, which way.

The rights based approach key objective is to ensure that the relationships, which exist, are inverted. Examples of such relationships are those that exist between the poor, service providers and policy makers. Other approaches view the process of development as a network that exists among international agencies, foundations and the governments. This approach often ignores certain groups as their resources are channeled to people they favor. The key priority of the approach based on human rights is that the poor should be entitled to help. Policy makers and service providers are now assuming the role of duty bearers, as this is how they have been conceptualized. They know that they have to ensure that the poor have their human rights respected (Harbeson, & Rothchild, 2000). It is not always possible to find defense, which are justified in matters concerning rights holders. In some countries, there are no legal structures that respect the right holders. Luckily, in other countries, citizens are guaranteed right to health care, education and employment, due to the existing constitutional provisions. Some citizens have gone as far as to file suits in courts against their countries, as they do not have their cultural, social and economic rights fulfilled. It means that people now know that every human being should be accorded all the basic human rights others are entitled.

Social Accountability

            It has been witnessed that social accountability and RBA are partners that exist naturally. According to RBA, government accountability and citizen participation are the key concerns in social accountability matters. Other aspects of social accountability include; inclusion, non discrimination and equality. They all are responsible for making sure that ordinary citizens are involved in control and in supervision of government. Participation is scaled up by social accountability. Citizens should not be viewed as participants with simple skills, but rather people with extreme ability. According to social accountability, people are viewed as being elements who, can have a say in evaluation and implementation of policies. Civic participation is broken when they hold their governments to practice as well as in discourse. One can take up only a few suggestions from the poor when they are involved in public policy planning. Also, one cannot let them be extremely involved in evaluating and watching government actions. It is not recommended that citizens are over empowered as they might abuse their rights.

Human rights defense is supported by the World Bank through social accountability,. When citizens are accepted into government, they can start to demand rights that are impossible. They may even want new laws without even being aware of the process of making them. Also, there is a risk that they may blame the state on everything that affects their lives. In turn, the possibility of there being a loop hole is extremely high. For example, in many African countries the citizens often blame their government when they are affected by things even beyond the control of the government. Farmers will blame poor production of crops on the government even if the problem is due to lack of rainfall. This means it has to change the mindset of the citizens, and make them more open minded (Ackerman, 2005).


After a thorough research of the World Bank’s role, and how it deals with human rights issues, the following conclusions were made. The World Bank should work hard towards changing its mandate, so that it can be more accommodative to political matters. The World Bank should strive towards ensuring that a government works together with their citizens. This will in turn promote effective relationships between the two parties (Paul, 2002). When it comes to lending of money, the World Bank should only give to countries, which are involved in advocating for human rights. It should also develop polices, which are bound to succeed, but only after consultations with key players on such matters. Nations states such as the united states, should become more involved in assisting the World Bank in providing assistance to those in need.

The nations states should on a regular basis gives reports on the progress that they have made. Non Governmental Organizations should be more involved in human rights matters, and should formulate specific goals. Other institutions dealing in matters concerning human rights should be given support by the World Bank. Furthermore, the civil society should put more into the process of reporting. It turn, it will make the process of decision making in policy issues become easier. Development should encompass factors such as inclusiveness, equality and non-discrimination. Lastly, a linkage, which is active, should exist between legal institutions and development for human rights purposes. Even after all the recommendations have been made, a follow up has to take place. The matter is of extreme urgency, and there are people who are in dire need of help from the World Bank.


In conclusion, it is indeed evident that the World Bank has had a significant history to the modern world. Since its formation, it has done a lot to ensure that people develop economically. Also, the system of nation states has helped the World Bank to carry out its functions. Moreover, human rights issues cannot be ignored and should be dealt with. Many scholars have been researching about the political affairs, human rights, and economic considerations practiced by the World Bank. Majority of them seem to believe that the World Bank should not participate in human rights promotion and protection. International Law is a barrier which is preventing the World Bank, from fully realizing what it sorts to achieve. Instead, an approach, which is rights based, has been adopted in order to bring about development. Social scientists and economists have come up with evidence, which suggests that human rights and economic welfare are related.

The bank’s mandate, which is concerned with economic development, as well as financing, is now being threatened. It should be known that the World Bank still concerns itself with matters on monitoring, investigating, assessing and inspecting. Human rights matters have been integrated into its system, as it has seen the need to do so. The policy on human rights by the World Bank should focus on solving conflicts that occur all over the world. Currently, the United States and the World Bank are working together on various projects. Indeed, the World Bank has a role, which is of importance to many people.




Ackerman, John. (2005). Social Accountability for the Public Sector: A Conceptual Discussion,

Washington: The World Bank, Social Development Paper No. 82.

Harbeson, John. & Rothchild, Donald. (2000) Africa in World Politics: The African State System In Flux. New York: West View Press.

Paul, Samuel. (2002). Holding the State to Account: Citizen Monitoring in Action, Bangalore: Books for Change.

United Nations . (2003). “The Human Rights Based Approach to Development Cooperation:

Towards a Common Understanding Among the UN Agencies,” New York: UN.

World Bank. (2004e) “Idea Note: Justice for the Poor-Program for the Reform of Legal Institutions in the Local Environment,” Washington: The World Bank.












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