India and the International Development Association (IDA) of the World Bank: A Critical Assessment

Abstract

India was one of the largest and most significant creditors for the past five decades of the International Development Association (IDA), the World Bank's soft loan window. The combination of India’s rapid economic growth and the recent GDP growth means that India has surpassed the income limit of IDA’s eligibility. Formal graduation carries significant implications and implications for other creditors. This paper aims to understand IDA’s structure and its relationship with India prior to its graduation. How has IDA’s relationship with India changed after its graduation? What are the implications for India as well as IDA after its graduation? Specifically, India’s relationship with the World Bank, as well as the broader questions about the country’s new income status.