NTER N AT I O NAL                Information StatementT A S S O C I AT I O
                   N
I International Development Association

                                                                                  DEVELOPMEN

The International Development Association (IDA) intends from time to time to issue its notes and bonds with
maturities and on terms determined by market conditions at the time of sale. The notes and bonds may be sold
to dealers or underwriters, who may resell them, or they may be sold by IDA directly or through agents.
The specific currency, aggregate principal amount, maturity, interest rate or method for determining such rate,
interest payment dates, if any, purchase price to be paid to IDA, any terms for redemption or other special
terms, form and denomination of such notes and bonds, information as to stock exchange listing and the names
of the dealers, underwriters or agents in connection with the sale of such notes and bonds being offered at a
particular time, as well as any other information that may be required, will be set forth in a prospectus or
supplemental information statement.
Except as otherwise indicated, in this Information Statement (1) all amounts are stated in current United States
dollars translated as indicated in the Notes to Financial Statements: Note A and (2) all information is given as
of June 30, 2025.

Notes and bonds of IDA have not been and will not be registered under the U.S. Securities Act of 1933
(the "Securities Act") or with any securities regulatory authority of any state or other jurisdiction of the
United States and may not be offered, sold, pledged or otherwise transferred within the United States
except pursuant to an exemption from registration under the Securities Act.

                                          AVAILABILITY OF INFORMATION
Upon request, IDA will provide additional copies of this Information Statement without charge. Written or
telephone requests should be directed to IDA's main office at 1818 H Street, N.W., Washington, D.C. 20433,
Attention: Capital Markets and Investments Department, tel: (202) 477-2880, or to IDA's Tokyo office at Fukoku
Seimei Building 14F, 2-2-2 Uchisaiwai-cho, Chiyoda-ku, Tokyo 100-0011, Japan, tel: +81-3-3597-6650.

Recipients of this Information Statement should retain it for future reference, since it is intended that
each prospectus and any supplemental information statement issued after the date hereof will refer to
this Information Statement for a description of IDA and its financial condition, until a subsequent
information statement is issued.

September 24, 2025
                                                 SUMMARY INFORMATION
                                       As of June 30, 2025, unless otherwise indicated

International Development Association (IDA) is an international organization owned by its 175 member countries, of which the five largest
member countries are the United States (with 9.77% of the total voting power), Japan (8.45%), United Kingdom (6.95%), Germany (5.38%),
and France (3.93%). IDA provides loans, grants, guarantees, and other financial products to the poorest and most vulnerable countries to help
meet their development needs, and technical assistance and policy advice by leveraging its experience and expertise. It also provides
concessional financing on terms that respond to clients' needs and supports countries with disaster risk financing and insurance against natural
disasters and health-related crises and facilitates financing through trust fund partnerships.

To meet its development goals, the WBG supports client countries' efforts to implement programs to improve growth and development
outcomes. Further, new and ongoing factors continue to influence the global outlook, including: global market uncertainties, migration surges,
youth unemployment, energy access, climate adaptation and mitigation, and growing fragility. IDA continues to work with partners at global
and country levels and its borrowing countries to maximize impact for development by efficiently channeling resources into projects that
create jobs, drive growth, reduce poverty, and improve living standards. To further support these efforts, the Boards of Directors and
management have been reforming the WBG and are working to better address the scale of development needs. This process includes
initiatives to increase impact, expand financing capacity, support projects that address cross-border externalities, and modernize the approach
to delivery.

IDA has financed its operations over the years with its own equity, including regular additions to equity provided by member countries as part
of the replenishment process. As a result of the strong support of member countries, IDA has built up a substantial equity base of
$204.2 billion as of June 30, 2025. By prudently leveraging its equity and blending market debt with equity contributions from members, IDA
has increased its financial efficiency, and scaled up its financing to support the escalating demand for its resources, while ensuring its long-
term financial sustainability through a prudent risk management framework.

IDA's Twentieth Replenishment of Resources (IDA20) reflects an agreed resource envelope of $93.0 billion in USD equivalent over the
three-year replenishment period from July 1, 2022, through June 30, 2025. IDA20 supports the world's poorest and most vulnerable countries
to emerge on a development path in line with the Green, Resilient and Inclusive Development (GRID) framework. In addition, IDA20's
policy package incorporates four cross-cutting issues: crisis preparedness (introduced in IDA20), governance and institutions, debt, and
technology. In July 2023, IDA's Board of Governors adopted a Resolution to establish a Crisis Facility to scale up support for the world's
poorest countries to address worsening development challenges due to the overlapping global crises, particularly food insecurity and extreme
climate events. This facility is supported by member contributions and was one of the measures to enhance IDA's financing capacity in the
IDA20 period. As of June 30, 2025, IDA concluded its Crisis Facility. On April 25, 2025, the IDA's Twenty-First Replenishment of
Resources (IDA21) Resolution was approved by IDA's Board of Governors, with a financing envelope of up to $100.0 billion over the three-
year replenishment period from July 1, 2025, through June 30, 2028, expected to be supported by up to $23.7 billion of member contributions.

Results of Operations

IDA prepares its financial statements in conformity with accounting principles generally accepted in the United States of America (U.S.
GAAP). IDA's reporting currency is the U.S. dollar. IDA's functional currencies are the SDR and its component currencies of the U.S. dollar,
euro, Japanese yen, pound sterling and Chinese renminbi. For the fiscal year ended June 30, 2025 (FY25), IDA reported a net loss of
$5,524 million.

Adjusted Net Income

Adjusted net Income reflects the economic results of IDA's operations and is used by IDA's management and the Board as a financial
sustainability measure. In FY25, IDA's Adjusted Net Income was $427 million.

Equity

As of June 30, 2025, IDA's equity was $204.2 billion, an increase of $13.9 billion compared to the prior year. This increase was primarily due
to subscriptions and contributions paid in and currency translation gains as the Special Drawing Rights (SDR) appreciated against the U.S.
dollar, partially offset by the net loss during the year. As of June 30, 2025, IDA's equity included $315.0 billion of subscriptions and
contributions committed, of which $291.7 billion had been paid in and $19.0 billion was yet to be received. IDA's equity also included
$71.9 billion of accumulated deficit. The accumulated deficit primarily represents the impact of IDA's development grant activity and the
HIPC and MDRI programs, which are compensated for by member contributions and recorded as subscriptions and contributions.

Assets

Loans  The largest component of IDA's assets are its loans outstanding. The net loans outstanding were $223.2 billion as of June 30, 2025.
IDA's net loan commitments in FY25 totaled $31.7 billion, which include commitments to Ukraine and Moldova as part of the IDA Crisis
Facility. In fulfilling its mission, IDA makes concessional and non-concessional loans to the poorest countries.

                                                                    2
Loans in nonaccrual status totaled 0.4% of IDA's loans outstanding and represented loans made to or guaranteed by two borrower countries.
IDA's accumulated provision for losses on loans and other exposures was equivalent to 2.0% of the underlying exposures as of June 30, 2025.
Liquid Assets  IDA holds liquid investments to ensure that it can meet its financial commitments. As of June 30, 2025, IDA's liquid assets
totaled $45.7 billion. Under IDA's Investment guidelines, aggregate liquid asset holdings are kept at or above a specified prudential minimum
to safeguard against cash flow interruptions. The prudential minimum liquidity level is set at 80% of 24 months of projected net outflows. For
FY25, the prudential minimum was $29.5 billion. As of June 30, 2025, IDA's liquid assets were 155% of the FY25 prudential minimum. The
prudential minimum for FY26 has been set at $37.0 billion.
Borrowings
Concessional Partner Loans (CPLs)  CPLs continue as a source of funding, whereby the borrowing terms of the concessional loans from
members aim to follow the concessional features of IDA's loans. As of June 30, 2025, total borrowings from members were $7.6 billion.
Market Borrowings  As of June 30, 2025, market borrowings carried at fair value excluding the related derivatives were $45.1 billion
compared to $26.4 billion as of June 30, 2024. The increase was primarily due to net issuances during the year. Beginning in FY22, IDA
started issuing long-term fixed rate bonds carried at amortized cost to fund its fixed rate loans. As of June 30, 2025, market borrowings carried
at amortized cost were $18.1 billion, an increase of $6.6 billion compared to June 30, 2024, primarily due to net issuances during the year.
Asset / Liability Management (ALM)  IDA has asset/liability management policies in place which are aimed at protecting its financial
capacity, as measured by the capital adequacy framework. IDA uses derivatives, including currency and interest rate swaps, in connection
with its operations in order to better manage balance sheet risks. The credit exposures on swaps are managed through specified credit-rating
requirements for counterparties and through netting and collateralization arrangements. Since FY22, IDA's interim ALM policy allows, under
specific criteria, funding fixed rate loans with long-term fixed rate market debt and CPL (both reported at amortized cost), as part of IDA's
interest rate risk management to align the interest rate and maturities of the debt with those of the loan portfolio.

                                              The above information is qualified by the detailed information
                                     and financial statements appearing elsewhere in this Information Statement.

                                                                    3
                                        SECTION I: OVERVIEW

Introduction

IDA, an international organization owned by its 1751 member countries, is one of the five institutions of the
World Bank Group (WBG2). Each WBG organization is legally and financially independent from IDA, with
separate assets and liabilities. IDA is not liable for the obligations of the other institutions.

IDA's mission is to end extreme poverty and boost shared prosperity on a livable planet. With its many years of
experience and its depth of knowledge in international development, IDA plays a key role in achieving the
WBG's goal of helping client countries achieve better development outcomes with a vision to create a world free
of poverty on a livable planet. IDA provides loans, grants, guarantees, and other financial products to the poorest
and most vulnerable countries to help meet their development needs, and technical assistance and policy advice
by leveraging its experience and expertise. It also supports countries with disaster risk financing and insurance
against natural disasters and health-related crises and facilitates financing through trust fund partnerships.

IDA and its affiliated institutions seek to help countries in reducing poverty and inequality, and achieve progress
towards development objectives, including economic growth, job creation, governance, human capital,
infrastructure, and debt transparency. To meet its development goals, the WBG supports client countries' efforts
to implement programs to improve growth and development outcomes. Further, new and ongoing factors
continue to influence the global outlook, including: global market uncertainties, migration surges, youth
unemployment, energy access, climate adaptation and mitigation, and growing fragility. IDA continues to work
with partners at global and country levels and its borrowing countries to maximize impact for development by
efficiently channeling resources into projects that create jobs, drive growth, reduce poverty, and improve living
standards. To further support these efforts, the Boards of Directors and management have been reforming the
WBG and are working to better address the scale of development needs. This process includes initiatives to
increase impact, expand financing capacity, support projects that address cross-border externalities, and
modernize the approach to delivery.

IDA Replenishment

Generally, every three years, representatives of IDA's members3 meet to assess IDA's financial capacity and the
medium-term demand for new IDA financing. Members decide on the policy framework, agree upon the amount
of financing to be made available for the replenishment period, and commit to additional contributions of equity
that are required to meet these goals. The meetings culminate in a replenishment agreement that determines the
size, sources (both internal and external), and uses of funds for the replenishment period.

Twentieth Replenishment of Resources (IDA20)

IDA20 operating and financing framework reflects an agreed resource envelope of $93.0 billion in USD
equivalent over the three-year replenishment period from July 1, 2022, through June 30, 2025. IDA20 supports
the world's poorest and most vulnerable countries to emerge on a development path in line with the Green,
Resilient and Inclusive Development (GRID) framework. In addition, IDA20's policy package incorporates four
cross-cutting issues: crisis preparedness (introduced in IDA20), governance and institutions, debt, and
technology.

1 On October 18, 2024, the Republic of Suriname became the 175th member country of IDA.
2 The other WBG institutions are the International Bank for Reconstruction and Development (IBRD), the International

      Finance Corporation (IFC), the Multilateral Investment Guarantee Agency (MIGA), and the International Centre for
      Settlement of Investment Disputes (ICSID). The World Bank consists of IBRD and IDA.
3 IDA's members are owners and hold voting rights in IDA. Members do not, however, hold shares in IDA and are
      therefore not referred to as shareholders. Payments for subscriptions and contributions from members increase IDA's
      paid-in equity and are financially equivalent to paid-in capital in multilateral development organizations that issue
      shares, IDA members have the same ownership rights as shareholders in other MDBs. For example, should IDA ever
      permanently suspend its operations, each member would receive a pro rata share of IDA's net assets in proportion to
      the amounts it originally paid in and invested in IDA.

                                                                    4
IDA Crisis Facility

In July 2023, IDA's Board of Governors adopted a Resolution to establish a Crisis Facility to scale up support for
the world's poorest countries to address worsening development challenges due to the overlapping global crises,
particularly food insecurity and extreme climate events. The Crisis Facility has two objectives: i) to provide
additional resources to IDA countries affected by Russia's invasion of Ukraine at a time of compounding,
overlapping global crises; and ii) to provide a mechanism for pooling and leveraging contributions to support
Ukraine, and to neighboring Moldova. This facility is supported by member contributions and was one of the
measures to enhance IDA's financing capacity in the IDA20 period. As of June 30, 2025, $2.4 billion of member
contributions had been received by the facility, which was fully paid as cash contributions. As of June 30, 2025,
IDA concluded its Crisis Facility.

Twenty-First Replenishment of Resources (IDA21)

On April 25, 2025, the IDA21 Resolution was approved by IDA's Board of Governors. IDA 21 recognizes the
need to help address the profound challenges faced by IDA countries and to support the world's poorest
countries. IDA21 builds on earlier replenishment cycles, with the continuation of five focus areas: people,
prosperity, infrastructure, digital transformation and planet, and four lenses that address priorities across these
topics: gender, jobs, private investment, and fragility, conflict and violence (FCV). As part of IDA21, IDA's
continued innovation has introduced hybrid capital and a portfolio guarantee platform as new instruments for
members to support IDA, where hybrid capital will enhance IDA's capital base and the portfolio guarantee
platform will help reduce IDA's credit risk.

With this agenda in the forefront, IDA's members agreed on the operational and financing framework that
reflects an IDA21 financing envelope of up to $100.0 billion over the three-year replenishment period from
July 1, 2025, through June 30, 2028. The IDA21 financing envelope is expected to be supported by up to $23.7
billion of member contributions, while contributions for Multilateral Debt Relief Initiative (MDRI), financing
raised in the capital markets, internal resources (e.g., loan repayments), and transfers from IBRD, in addition to
capital support on IFC's balance sheet for the Private Sector Window (PSW), make up the remainder.

Financial Business Model

IDA has financed its operations over the years with its own equity, including regular additions to equity provided
by member countries as part of the replenishment process. As a result of the strong support of member countries,
IDA has built up a substantial equity base of $204.2 billion as of June 30, 2025. Since FY18, IDA has shifted to a
hybrid financial model by introducing market debt into its business model. By prudently leveraging its equity and
blending market debt with equity contributions from members, IDA has increased its financial efficiency, and
scaled up its financing to support the escalating demand for its resources to deliver on the following priorities:

 Provide concessional financing on terms that respond to clients' needs; and

 Ensure long-term financial sustainability of IDA's financial model through a prudent risk management
   framework.

Currently, IDA's non-concessional and concessional lending, including grants, is primarily financed by IDA's
equity. As IDA's funding program expands under the hybrid financial model, a larger portion of lending will be
funded by market debt, together with member countries' contributions (equity). Funds not deployed for lending
and grant operations are maintained in IDA's investment portfolio to supply liquidity for its operations, which
will also be increasingly funded with debt.

Basis of Reporting

Reported Basis

IDA's financial statements are prepared in accordance with accounting principles generally accepted in the
United States of America (U.S. GAAP) and are independently audited on an annual basis. Generally,

                                                                    5
Investments, Borrowings, and Derivatives are reported at fair value in the Balance Sheets, with changes in fair
value reported in the Statements of Income. Changes in IDA's own credit are reflected in Other Comprehensive
Income. Concessional Partner Loans (CPL), certain market debt and IDA's loans are reported at amortized cost
in the Balance Sheets.
The variability in IDA's net income is inherently driven by the grant activity and unrealized mark-to-market
gains and losses in IDA's non-trading portfolios, as not all financial instruments are reported on the same
measurement basis. IDA's risk management strategy entails the use of derivatives to manage market risk. These
derivatives are primarily used to align the interest rate and currency bases of its assets and liabilities. IDA has not
elected to designate any hedging relationships for accounting purposes.
Non-GAAP Measures
Management uses certain non-GAAP financial measures to evaluate the underlying operations and financial
performance of IDA. A non-GAAP financial measure is a measure that is adjusted to exclude, include, or
reclassify certain items or components from the most directly comparable measure calculated in accordance with
U.S. GAAP and reported in the audited financial statements.
Adjusted Net Income
Adjusted Net Income (ANI) reflects the economic results of IDA's operations and is used by IDA's management
and the Board as a financial sustainability measure. ANI is defined as IDA's net income, adjusted to exclude
certain items. After the effects of these adjustments, ANI generally reflects amounts which are realized, not
restricted for specific uses, and not directly funded by members.
See Section IV: Financial Results and Table 9, for details of the adjustments to reported net income to calculate
ANI.
Deployable Strategic Capital Ratio
IDA's capital adequacy model mandates that IDA hold capital for credit risk, market risk and operational risk
covering all activities and assets on its books. The Deployable Strategic Capital (DSC) represents the capital
available to support future commitments, over and above the current portfolio.
See Section IX: Risk Management and Table 24 for more details of the DSC.
Budget Anchor Ratio
The budget anchor is an efficiency metric to monitor the coverage of IDA's net administrative expenses by its
loan revenue, net of associated borrowing expenses.
See Section IV: Financial Results and Table 11 for more details of the budget anchor ratio.

                                                                    6
SECTION II: EXECUTIVE SUMMARY

This Management's Discussion & Analysis (MD&A) reflects the results of the International Development
Association's (IDA) financial performance for the fiscal year ended June 30, 2025 (FY25). IDA undertakes no
obligation to update any forward-looking statements. Certain reclassifications of prior years' information have
been made to conform with the current year's presentation. For discussion of IDA's financial results for the
previous year ended June 30, 2024, as compared to the year ended June 30, 2023, see Section IV  Financial
Results in IDA's MD&A and Financial Statements for the fiscal year ended June 30, 2024 (FY24).

Table 1: Selected Financial Data

In millions of U.S. dollars, except ratios which are in percentages                                                                      As of and for the fiscal year ended
                                                                                                                                                        June 30,
Lending Highlights (Sections IV & V)
Loans, Grants and Guarantees                                                                                                             2025        2024        2023

   Net commitments a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           $ 39,866 $ 31,195 $ 34,245
   Gross disbursements a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                33,123 28,247 27,718
   Net disbursements a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              24,257 20,062 19,968

Balance Sheet (Section IV)                                                                                                               $280,869    $241,350    $227,482
   Total assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       47,272      34,377      31,822
   Investments b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        223,232     198,457     187,669
   Net loans outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              70,832      44,923      32,567
   Borrowings b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       204,171     190,301     185,782
   Total equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Income Statement (Section IV)                                                                                                            $ 2,366     $ 2,398     $ 2,367
   Interest revenue, net of borrowing expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                               515         291         117
   Transfers from affiliated organizations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Development grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               (7,200)     (5,291)     (3,946)
   Net loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     (5,524)     (3,573)     (3,262)

Non-GAAP Measures                                                                                                                        427 $       780 $       193
   Adjusted Net Income (Section IV) c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
   Deployable Strategic Capital Ratio (Section IX) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                           30.8%       34.8%       N/A
      Current Approach d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           N/A         21.1%       24.1%
      Previous Approach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

a. Commitments that have been approved by the Executive Directors (referred to as "the Board" in this document) and are
      net of full cancellations and terminations relating to commitments approved in the same fiscal year. Commitments and
      disbursements exclude IDA- IFC-MIGA Private Sector Window (PSW) activities.

b. See Notes to Financial Statements, Note C  Investments, Note E  Borrowings.
c. For adjustments relating to adjusted net income, See Table 9 in Section IV: Financial Results.
d. Since June 30, 2024, the ratio has been calculated using an enhanced Board-approved methodology. See Section IX:

      Risk Management.

                                  7
Summary of Financial Results

Net Loss                                                         In millions of U.S. dollars

IDA reported a net loss of $5,524 million in FY25, compared                                                      Adjusted Net Income (Loss)
                                                                                                                 Net Income (Loss)
to a net loss of $3,573 million in FY24. The higher net loss

                                                                                                          8,000

was primarily driven by an increase in development grant

expenses (Section IV).                                           4,000

Adjusted Net Income                                                     0
                                                                 (4,000)
IDA's adjusted net income was $427 million in FY25,              (8,000)
compared to $780 million in FY24. The decrease was
primarily due to higher borrowing expenses, higher net non-                                                      FY21 FY22 FY23 FY24 FY25
interest expenses and higher provision expense for losses on
loans and other exposures, partially offset by higher net loans
interest revenue and higher revenue from investments
(Section IV).

Loans and Grants

IDA's net commitments in FY25 were $39.9 billion, $8.7 billion higher than FY24, supported by loan
commitments made in FY25 under the IDA Crisis Facility. Out of the total net commitments, $31.7 billion were
loan and guarantee commitments and $8.2 billion were grant commitments (See Table 14 and Table 15).

IDA's net loans outstanding increased by $24.7 billion to $223.2 billion as of June 30, 2025, from $198.5 billion
as of June 30, 2024 (Section IV).

Development grant expenses were $7.2 billion in FY25 compared to $5.3 billion in FY24 due to higher
disbursements of conditional grants during the year as the conditions for expense recognition were met.

In billions of U.S. dollars                     Net Loans Outstanding                                                       Net Grant Commitments
                                  250                                                                                       Grant Expense
          Net Commitments                                                                                                   Grant Disbursements
          Gross Disbursements     200                                                                            24
          Net Disbursements       150
40                                100                                                                            18
32
24                                 50                                                                            12
16                                   0
 8                                           Jun 21 Jun 22 Jun 23 Jun 24 Jun 25                                   6
 0
        FY21 FY22 FY23 FY24 FY25                                                                                  0
                                                                                                                          FY21 FY22 FY23 FY24 FY25

a. Includes loans, grants and guarantees

                                          8
Investments

As of June 30, 2025, investments were $47.3 billion,       In billions of U.S. dollars
compared with $34.4 billion as of June 30, 2024. The       Investments
increase was primarily due to net cash inflows from new    50
issuances of debt and subscriptions and contributions      40
paid-in, exceeding net loan and grant disbursements        30
during the year (Section VII). The primary objective of    20
IDA's investment strategy is principal protection. As of   10
June 30, 2025, 78% of IDA's investment portfolio was
held in instruments rated AA or above (77% as of             0
June 30, 2024) (Table 25).                                          Jun 21 Jun 22 Jun 23 Jun 24 Jun 25

Borrowings

Market borrowings at fair value: As of June 30, 2025,      In billions of U.S. dollars
the market borrowings reported at fair value were          Borrowings
$45.1 billion, an increase of $18.7 billion from June 30,  80
2024, primarily due to net new debt issuances of $16.9
billion during the year.                                   60

Market borrowings at amortized cost: As of June 30,        40
2025, the market borrowings reported at amortized cost
were $18.1 billion, an increase of $6.6 billion from       20
June 30, 2024, primarily due to net new debt issuances
of $5.2 billion during the year.                             0
                                                                    Jun 21 Jun 22 Jun 23 Jun 24 Jun 25

Concessional Partner Loans (CPL) at amortized cost: As
of June 30, 2025, CPL at amortized cost were
$7.6 billion, an increase of $0.6 billion from June 30,
2024 (Section VIII).

Total Equity and Capital Adequacy

As of June 30, 2025, IDA's total equity was                Total Equity
$204.2 billion, an increase of $13.9 billion from          In billions of U.S. dollars
June 30, 2024. The increase was primarily due to
subscriptions and contributions paid in and currency       225
translation gains as the Special Drawing Rights (SDR)      150
appreciated against the U.S dollar. This was partially
offset by the net loss during the year. (Section IV).        75
                                                              0
                                                                      Jun 21 Jun 22 Jun 23 Jun 24 Jun 25

The Deployable Strategic Capital (DSC) ratio, IDA's        Deployable Strategic Capital Ratio
main capital adequacy measure, was 30.8% as of             Ratio in percentages
June 30, 2025, above the zero percent policy minimum
(Section IX).                                              45%          DSC Ratio - Current Approach
                                                           30%          DSC Ratio - Previous Approach
                                                           15%                                         Jun 25
                                                                        Jun 22 Jun 23 Jun 24
                                                            0%              Policy Minimum ratio = 0%
                                                                Jun 21

                                   9
                          SECTION III: IDA'S FINANCIAL RESOURCES

IDA finances its operations mainly with its own equity, including regular additions to equity through members'
subscriptions and contributions as part of the replenishment process. Members' subscriptions and contributions
receivable for each replenishment are settled through payment of cash or deposit of nonnegotiable, noninterest-
bearing demand notes which become due throughout the replenishment period, generally three years. The notes
are encashed by IDA on a pro rata basis over a 9 to 11-year period which generally corresponds with the
disbursement period of the loans and grants.

See Box 1 for countries that are eligible to borrow from IDA on concessional terms as of June 30, 2025.

Box 1: Countries Eligible to Borrow from IDA on Concessional terms

IDA-only                  44 countries that (a) have not exceeded the IDA operational cut-off GNI per
                          capita for more than two consecutive years; and (b) are not creditworthy to
                          borrow from IBRD. This includes: 13 Small States that have per capita incomes
                          above the IDA operational cut-off for more than two consecutive years, but that
                          have been granted the status of an "IDA-only Country" under the Small States
                          Exception (SSE) a.

IDA eligible Gap          1 country with loans in nonaccrual status, which was classified as "IDA-only"
countries                 at the time they went into nonaccrual. IDA financing terms will be determined
                          when the country reengages with IDA.
                   Blend
                          14 countries that are (a) determined by IDA to be eligible for IDA financing;
                          (b) determined by IDA to have a GNI per capita that has exceeded the cut-off
                          for IDA eligibility for more than two consecutive years; and (c) not currently
                          determined by IBRD to be creditworthy to borrow from IBRD. This includes 1
                          Small State.

                          18 countries that are determined: (a) by IDA to be eligible for IDA financing;
                          and (b) by IBRD to be creditworthy to borrow from IBRD. This includes 10
                          Small States under the SSE.

                                        1 country with loans in nonaccrual status, which was classified as "Blend" at
                                        the time it went into nonaccrual. IDA financing terms will be determined when
                                        the country reengages with IDA.

a. Small States are countries with a population of 1.5 million people or fewer. A small state classified as an IDA-only
      country, Gap country or a Blend country is eligible for the SSE if its GNI per capita is above the IDA Operational cut-
      off but below the high income threshold.

IDA20 Funding

For the three-year replenishment cycle of IDA20, the agreed resource envelope was $93.0 billion in USD
equivalent, funded by IDA's equity as well as borrowings. IDA's equity includes new capital resources received
during the IDA20 cycle: $23.5 billion from member contributions, $1.8 billion from member compensation for
MDRI, and an $0.8 billion transfer from IBRD.

As of June 30, 2025, IDA completed its twentieth replenishment period. See Table 2 for IDA20 uses and Table 3
for cumulative net commitments under IDA20.

                          10
Table 2: IDA20 Uses

In billions of U.S. dollars

Uses                                                                                                                                                                USD Equivalent a
                                                                                                                                                                                $ 67.4
Concessional financing
      Loans and Guarantees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                           23.6
      Grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 10.2
                                                                                                                                                                                $101.2
Non-concessional financing (including Private Sector Window)

Total Uses b c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

a. The U.S. dollar amounts are based on the exchange rate as per the date of approval.
b. Includes recommitments of cancellations mainly from previous replenishments of $8.2 billion.
c. Excludes $6.1 billion of commitments to Ukraine and Moldova as part of the IDA Crisis Facility.

Figure 1 below shows the allocation of IDA20 sources to fund IDA's lending activities (excluding PSW
activities).

                         Figure 1: Funding Allocation During IDA20 Replenishment Period

                                                                               Guarantees 1%

                             Non-concessional 7%

                             Grants               Regular
                             24%                  loans
                                                  40%

                             Blend
                             loans
                             28%

Table 3: Cumulative Net Commitments under IDA20

In millions of U.S. dollars

As of June 30, 2025                                                                                                            Loans and
                                                                                                                               Guarantees Grants Total

Concessional financing                                                                                                         $53,810                              $15,217 $69,027
      IDA Country Allocations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
      IDA Concessional Windows                                                                                                    3,580                             4,174  7,754
            Regional Window . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       556                             1,775  2,331
            Window for Host Communities and Refugees . . . . . . . . . . . . . . . . . . . . . . . . . . .                                                          2,433  3,900
            Crisis Response Window . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        1,467                                    7,970
            Scale-up Window--Shorter Maturity Loans . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                     7,970                                --  7,025
                                                                                                                                  7,025                                --
Non-concessional financing including Scale-up Window . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total Cumulative Net Commitments a b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $74,408 $23,599 $98,007

a. Commitments are net of full cancellations and terminations relating to commitments approved in the same fiscal year.
      Excludes IDA-IFC-MIGA Private Sector Window (PSW) gross commitments of $3.2 billion.

b. Excludes IDA19 Commitments of $1.2 billion loans approved in July 2022 and $6.1 billion of commitments to Ukraine
      and Moldova as part of the IDA Crisis Facility.

                             11
IDA21 Funding

IDA's financing resource envelope available for lending and grant commitments is based on the long-term
outlook of IDA's financial sustainability. This takes into account the amount of member contributions and the
concessionality of the proposed financing to borrowers, market conditions, and capital adequacy requirements.
For the three-year funding cycle of IDA21, the agreed resource envelope was up to $100.0 billion USD
equivalent, that will be supported by up to $23.7 billion of member contributions, as well as by member
compensation for MDRI, and transfers from IBRD.

Allocation of IDA21 Resources

Eligibility for IDA's resources is determined primarily by a member's relative poverty. Relative poverty is
defined as Gross National Income (GNI) per capita below an established threshold that is updated annually. For
FY26, the threshold is $1,325 (FY25: $1,335).

See Table 4 for the proposed allocation of IDA21 resources.

Table 4: Allocation of IDA21 resources

In billions of U.S. dollars

Proposed Allocation                                                                                                                                      USD Equivalent a

Concessional financing of which . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      $ 89.8
      Country Allocation Envelope . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         67.2
      IDA Concessional Windows . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          22.6
                                                                                                                                                            10.2
Non-concessional financing of which . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
      Non-concessional Scale-Up Window . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 7.0
      Private Sector Window . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      3.2

Total Proposed Allocation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    $100.0

a. U.S. dollar equivalent amounts are based on IDA21 reference rate of USD/SDR 1.32558. The U.S. dollar amounts are
      provided for reporting purposes only.

IDA financing is provided in the form of loans, grants, and guarantees. Most of IDA's resources are allocated to
eligible members through IDA Country Allocations that provide unearmarked support. The allocation framework
is agreed for each replenishment cycle. Country Allocations are comprised of the Performance Based Allocation
(PBA), which takes into account the country's performance rating (CPR), population size and per capita income,
the Sustainable Development Finance Policy (SDFP) Incentive, the FCV Envelope, and the Grant Facility for
Project Preparation Envelope (IDA-GFPP). The rest of IDA resources are provided through five IDA Windows
dedicated to addressing specific development priorities.

                                        12
IDA responds to specific needs of its members through the following five IDA Windows:
                                                    Figure 2: IDA21 Windows

IDA Windows (if eligible)

       Concessional          Non-Concessional
                             Scale-Up Window
    Scale-Up Window       Private Sector Window
(Shorter Maturity Loans)

  Global and regional
 Opportunities Window

  (Host Communities
      and Refugees)

Crisis Response Window

Allocation -- Performance Based Allocation (PBA) System

IDA's resources are allocated to eligible members, using its PBA system and the allocation framework agreed
during each replenishment. These allocations depend on several factors: the overall availability of IDA's
resources, individual country needs, their policy performance and institutional capacity, and each country's
performance relative to others. The PBA system is designed to provide resources where they are likely to be most
helpful in reducing poverty.

Under the PBA, the main factor that determines the allocation of IDA's core concessional resources among
eligible countries is their performance in the Country Policy and Institutional Assessment (CPIA). The CPIA
reflects the results of an exercise that rates eligible countries against a set of criteria including economic
management; structural policies; policies for social inclusion and equity; and public-sector management and
institutions. The CPIA and portfolio performance together constitute the IDA Country Performance Rating
(CPR). In addition to the CPR, population, and per capita income are factored into a country's allocation, along
with the annual base allocation (SDR15 million per country). In addition, country allocations provide the FCV
envelope to enhance support for eligible countries facing different FCV risks. The SDFP offers a positive
incentive-driven approach to encourage countries to pursue sustainable borrowing and investment practices,
replacing the set-aside mechanism of previous IDA cycles. A new Grant Facility for Project Preparation
Envelope (IDA-GFPP) provides resources to support IDA21's focus on building client capacity for delivery.

In recognition of the change in IDA's business model starting in IDA18, and to ensure that its lending decisions
are compatible with the capital adequacy requirements of a triple-A rating, the allocation framework for IDA21
continues to be aligned with the Single Borrower Limit (SBL) and capital adequacy requirements under the DSC
Framework, see Section IX:Risk Management.

Concessional Financing

Concessional financing is provided in the form of loans, grants and guarantees. Eligibility and percentage of
allocation for grants for IDA-only countries is based on an assessment of the country's risk of debt distress. IDA-
only countries (including Small States) with high risk or in debt distress, receive their IDA assistance in grants.

                                                                   13
IDA-only Small States at moderate risk of debt distress continue to receive half of their IDA21 allocation in
grants and half in loans. The annual cap on grants in country allocations will be reduced from $1 billion to
$650 million.

New financing terms have been introduced in IDA21 to simplify the terms of financing used by each country and
to allow for additional financing for select group of eligible countries. Figure 3 below provides details of the new
financing terms being offered in IDA21.

In addition, countries that select floating rate loans from IDA will be offered hedging services to mitigate risks
associated with fluctuation in market interest rates. These changes will not apply to IDA eligible Small States,
which will continue to borrow on Small States terms as in the past replenishments.

                               Figure 3: IDA21 Financing Terms for Country Allocation

Lending Group                            Financing Terms

           Risk of External                     Non-Small States                          Small States
            Debt Distress
                                     Grants (with volume discount)          Grants
         High Risk or in Debt
                 Distress            40-yr loans (11-yr grace, 0% interest  50% grants
                                     or service charge)                     50% 40-yr loans (10-yr grace, 0.75%
IDA-only       Moderate Risk                                                SDR service charge)
Countries                            31-yr loans (6-yr grace, 0.75% SDR     40-yr loans (10-yr grace, 0.75%
                                     service charge)                        SDR service charge)
               Low Risk
                                     25-yr loans (5-yr grace, Fixed         40-yr loans (10-yr grace, 0.75%
Gap and Blend  High Risk or in Debt  interest SDR rate of 1.5%)             SDR service charge)
   Countries          Distress       25-yr loans (5-yr grace, Floating
                                     interest rate of IBRD Group A pricing
                  Moderate Risk      minus 2.5%)
                      Low Risk

Country Allocation Envelope

The country allocation envelope represents $67.2 billion of the IDA21 resource envelope. Country allocations are
comprised of the PBA, which takes into account the CPR, population size and per capita income, the SDFP
Incentive, the FCV Envelope, and the IDA-GFPP.

IDA Concessional Windows

IDA Concessional Windows allow IDA to respond to specific needs of its members. In IDA21, $22.6 billion of
the IDA21 resource envelope will be used to fund the following:

 $3.0 billion of Concessional Scale-up Window (SUW)  Shorter Maturity Loans.

 $15.9 billion of Global and Regional Opportunities Window (GROW), including $2.4 billion for the sub-
   window for Host Communities and Refugees (WHR).

 $3.7 billion of Crisis Response Window.

Global and Regional Opportunities Window (GROW)

IDA21 establishes the new GROW to scale up action on priority global and regional challenges. GROW replaces
the former Regional Window and integrates a dedicated sub-window for the Window for Host Communities and
Refugees (WHR) in a single, fully concessional window. GROW offers low-income countries additional
resources on concessional terms, same as the ones in the country allocation, to help these countries address
policy priorities with cross-border externalities. IDA fosters regional integration by playing three overlapping
roles:

 Supporting an enabling environment through advisory and analytical work;

                                     14
 Financing projects through policy and investment loans; and

 Convening state and nonstate actors for coordination and collective actions.

Window for Host Communities and Refugees (WHR)

In IDA21, WHR is a sub-window under GROW and will continue to support operations that promote medium-to
long-term development opportunities for refugee and host communities in IDA countries. The purpose of the
WHR is to support refugee hosting countries to:

 create social and economic development opportunities for refugee and host communities;

 facilitate solutions that include sustainable socio-economic inclusion of refugees in the host country and/or
   their return to the country of origin; and

 strengthen country preparedness for increased or potential new refugee flow.

Crisis Response Window (CRW)

The primary objective of the CRW is to provide IDA countries with additional resources that will help them to
respond to major natural disasters, or public health emergencies and severe economic crises so that they can
return to their long-term development paths. This $3.7 billion window under the IDA21 resource envelope
includes an allocation of up to $1.0 billion under the CRW Early Response Financing (ERF) to enable IDA
countries to intervene earlier in response to slower-onset crises, namely disease outbreaks and food insecurity.

Concessional Scale-up Window  Shorter Maturity Loans (SUW-SML)

The Shorter Maturity Loans under the Scale-up Window will provide additional concessional resources with an
allocation of $3.0 billion in eligible countries i.e., IDA-only countries at low or moderate risk of debt distress, as
well as Gap and Blend countries (except Small States that are at high risk or in debt distress).

Non-Concessional Financing

Non-Concessional financing comprises loans and guarantees whose terms are aligned with those of IBRD's
flexible loans and guarantees. Under the IDA21 resource envelope, $7.0 billion of resources have been allocated
to non-concessional financing which entirely relates to the regular Scale-up Window.

Non-Concessional Scale-up Window: The Non-Concessional Scale-up Window is a window of resources
established to enhance support for high-quality, transformational, country-specific and/or regional operations
with strong development impact. Allocation of Non-Concessional Scale-up Window resources to the regions will
broadly conform to the allocations under the PBA, excluding countries at a high risk of debt distress. Allocations
are balanced between IDA-only and Blend countries to avoid countries from having a concentration of Non-
Concessional Scale-up Window resources. Implementation arrangements will prioritize a country's ability to
absorb resources and the proposed projects' alignment with IDA21 policy priorities and the debt-related
Sustainable Development Finance Policy.

Private Sector Window (PSW)

The IDA-IFC-MIGA Private Sector Window was created under IDA18 to mobilize private sector investment in
IDA-only countries and IDA-eligible Fragile and Conflict-affected Situations. In IDA20, the PSW was allocated
an initial envelope of $2.5 billion which was increased to $2.7 billion corresponding to the release of the PSW
resources allocated in the previous replenishment cycles. This had no impact on the cumulative total PSW
allocation in IDA18 through IDA20. Under IDA21, $3.2 billion has been allocated to PSW, including $500
million capital set aside on IFC's balance sheet. As of June 30, 2025, $3.2 billion had been committed in IDA20,
including recommitments of cancellations from previous and current replenishments.

PSW is deployed through facilities designed to target critical challenges faced by the private sector and leverages
IFC and MIGA's business platforms and instruments.

                                                                   15
Arrears Clearance Framework

IDA has a policy of not providing additional financing to borrowers who are overdue on their payments to IDA
or IBRD. However, IDA may engage with these countries under limited and clearly defined circumstances.
IDA's arrears clearance framework sets out these circumstances, including (i) pre-arrears clearance grants; and
(ii) the arrears clearance set-aside, that can only be financed under the arrears clearance operations. In IDA21, no
allocation was set aside towards arrears clearance to support the possible reengagement of IDA countries that are
currently in arrears. However, during the IDA21 period, should meaningful progress arise in any country in
arrears, a reallocation discussion with IDA members will be initiated.

i. Pre-Arrears Clearance Grants (PACG)

The PACG mechanism enables IDA to engage early in support of a government undertaking convincing reforms.
This was first introduced in IDA12 to be used to finance high priority activities related to the preparation of a
program of social and economic recovery and to build resilience until the arrears are fully cleared. Conditions
constituting this framework include indications that:

 early performance is promising as evidenced by the recipient country having taken convincing steps towards
   social and economic recovery.

 arrears to IDA and/or IBRD are large and protracted and cannot be easily or quickly cleared using domestic
   resources.

 a concerted international effort to provide positive financial flows and other assistance is underway, and other
   creditors have agreed not to make net withdrawals of financial resources from the country.

 alternative sources of financing for post-conflict recovery are inadequate or available only on inappropriate
   terms; and

 Pari passu sharing arrangements are in place between preferred creditors, for any payments made by the
   country in advance of arrears clearance.

The PACG program has met its objectives with each of the prior PACG recipients successfully clearing all their
arrears to IDA. Prior PACG recipients are Democratic Republic of the Congo, Cote d'Ivoire, Afghanistan,
Liberia, Myanmar, Federal Republic of Somalia, and Sudan for a total of $802 million between FY01 and FY25.

ii. Arrears Clearance Set-Aside

The Arrears Clearance Set-Aside (ACSA) forms part of IDA's overall financing commitments. It is financed by
additional member contributions under the replenishments. IDA members agreed to ring-fence arrears clearance
support to IDA countries that were in arrears as of December 31, 2006 and meet a very narrow and well-defined
set of criteria see below, including eligibility for support under the Heavily Indebted Poor Countries (HIPC)
debt initiative. Amounts were set aside within the IDA replenishment so that when circumstances allow, IDA
would be able to help countries clear arrears and fully re-engage with the World Bank.

To be considered for any arrears clearance support, the country would need to meet the following criteria:

 be eligible for HIPC debt relief;

 agree to implement a medium-term growth-oriented reform program endorsed by the World Bank;

 ensure a sustainable macro and sustainable debt service after arrears clearance;

 agree on a stabilization program endorsed by the International Monetary Fund (IMF) management and
   monitored by IMF staff or supported by an IMF arrangement; and

 agree to a financing plan for full clearance of arrears, including normalization with other Multilateral
   Development Banks (MDBs).

In addition, to receive support for arrears clearance, project proposals should meet re-engagement criteria based
on facts and circumstances of each case.

                                                                   16
                             SECTION IV: FINANCIAL RESULTS

Financial Results and Portfolio Performance

Table 5: Condensed Balance Sheets

In millions of U.S. dollars

As of June 30,                                         2025       2024       Decrease                  Increase

Assets                                                 $ 1,215    $ 586                        629     12,895
   Due from banks . . . . . . . . . . . . . . . .         47,272     34,377
   Investments . . . . . . . . . . . . . . . . . . .    223,232    198,457                     52                24,775
   Net Loans Outstanding a . . . . . . . . .                 415        363                     1,168
   Derivative assets, net . . . . . . . . . . . .          8,735      7,567
   Other assets . . . . . . . . . . . . . . . . . . .

Total assets . . . . . . . . . . . . . . . . . . . . . $280,869 $241,350                                                                                                             39,519

Liabilities                                            $ 70,832   $ 44,923                                     25,909
   Borrowings . . . . . . . . . . . . . . . . . . . .        496        667
   Derivative liabilities, net . . . . . . . . .                                       (171)
   Other liabilities . . . . . . . . . . . . . . . .       5,370      5,459              (89)
                                                        204,171    190,301
Total Equity . . . . . . . . . . . . . . . . . . . .                                                   13,870
                                                       $280,869   $241,350
Total liabilities and equity . . . . . . . . .                                                                   39,519

a. The fair value of IDA's loans was $172,530 million as of June 30, 2025 ($151,428 million  June 30, 2024).

The main drivers for the movements in the Condensed Balance Sheets from June 30, 2024 to June 30, 2025 are
as follows:

 An increase in investments, driven by net cash inflows from new issuances of debt and subscriptions and
   contributions paid in, partially offset by cash outflows from net loan and grant disbursements during the year;

 An increase in net loans outstanding due to net loan disbursements of $16.0 billion during the year and
   translation gains due to the appreciation of the Special Drawing Rights (SDR) against the U.S. dollar.;

 An increase in borrowings due to net new issuances of $22.0 billion during the year;

 An increase in total equity, driven by the subscriptions and contributions paid-in and total other comprehensive
   income, partially offset by the net loss during the year. Total other comprehensive income is driven by
   currency translation gains as the SDR appreciated against the U.S dollar.

Total Equity
See below for the change in IDA's total equity during FY25:
Table 6: Change in Total Equity

In billions of U.S dollars

Total equity as of June 30, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $190.3

Activity during the year:                                                                                                                                                            11.6
   Subscriptions and contributions paid-in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    0.3
   Nonnegotiable non-interest bearing demand obligations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                               (5.5)
   Net Loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   7.5
   Total other comprehensive income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total Activity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13.9
Total equity as of June 30, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $204.2

                                                                        17
Net Income

IDA had a net loss of $5,524 million in FY25 compared with a net loss of $3,573 million in FY24 (Table 7). The
higher net loss was primarily driven by an increase of $1,909 million in development grant expenses due to
higher amount of grants that met the conditions for expense recognition in FY25 compared to FY24.

Table 7: Condensed Statements of Income

In millions of U.S. dollars

                                                                                                                                           Impact on Income

For the fiscal year ended June 30 ,                                                                              2025 2024        Decrease                   Increase

Interest Revenue

Loans, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,021 $ 2,639                               382
                                                                                                                                                     242
Investments, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,559 1,317                                20

Asset-liability management derivatives, net . . . . . . . . . . . . . . . . . . . . .                            78     58

Borrowing expenses, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (2,292) (1,616)                 (676)

Interest Revenue, net of borrowing expenses . . . . . . . . . . . . . . . . . . . . $ 2,366 $ 2,398                                         (32)

   Provision for losses on loans and other exposures . . . . . . . . . . . . . . . .                             (358) (275)                (83)
Non-interest revenue
                                                                                                                 1,098  1,031                            67
   Revenue from externally funded activities (Table 10) . . . . . . . . . . . . .                                   23     26                     (3)
   Commitment charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   36     25
   Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                          11
Non-interest expenses
   Administrative (Table 10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               (2,737) (2,435)           (302)
   Contribution to special programs (Table 10) . . . . . . . . . . . . . . . . . . . .
   Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   (20) (20)                        --
   Transfers from affiliated organizations . . . . . . . . . . . . . . . . . . . . . . . . .                                                      23
   Development grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              --     (23)
   Currency remeasurement (losses) gains, net . . . . . . . . . . . . . . . . . . . . .                                                              224
   Unrealized mark-to-market gains on investments-trading portfolio,                                             515 291

      net a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  (7,200) (5,291)  (1,909)
   Unrealized mark-to-market gains on non-trading portfolios, net
                                                                                                                 (57) (21)                  (36)
      (Table 13) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                           24
                                                                                                                 340 316                             65

                                                                                                                 470 405

Net (Loss) Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(5,524) $(3,573) $(1,951)

a. Includes IDA's share of returns from Post-Employment Benefit Plan (PEBP) and Post-Retirement Contribution Reserve
      Fund (PCRF) assets--$130 million positive return (FY24--$124 million positive return).

                                         18
Adjusted Net Income

Adjusted Net Income, a non-GAAP measure, reflects the economic results of IDA's operations and is used by
IDA's management and the Board as a financial sustainability measure. See Table 8 below for the components of
Adjusted Net Income.

Table 8: Statement of Adjusted Net Income (Non-GAAP Measure)

In millions of U.S. dollar

For the fiscal year ended June 30 ,                                                                  2025 2024        Decrease        Increase

Interest Revenue                                                                                     $ 3,021 $ 2,639                            382
   Loans, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                         238
   Investments, net a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      1,747 1,509                      20
   Asset-liability management derivatives, net . . . . . . . . . . . . . . . .
                                                                                                     78  58
Borrowing expenses, net b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                     (2,200) (1,526)  (674)

Interest Revenue, net of borrowing expenses . . . . . . . . . . . . . . . $ 2,646 $ 2,680                                       (34)

Provision for losses on loans and other exposures c . . . . . . . . . . .                            (416) (306)                  (110)
Non-interest expenses (Table 10) . . . . . . . . . . . . . . . . . . . . . . . . .                                              (211)
Other Revenue (Expenses), net (Table 12) . . . . . . . . . . . . . . . . .                           (1,846) (1,635)
                                                                                                                                               2
                                                                                                     43  41

Adjusted Net Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 427 $ 780                 (353)

a. Includes Unrealized mark-to-market gains (losses) on investments-trading portfolio, net -- $340 million gains (FY24 --
      316 million gains) and excludes IDA's share of returns from Post-Employment Benefit Plan (PEBP) and Post-
      Retirement Contribution Reserve Fund (PCRF) assets -- $152 million positive return (FY24 -- $124 million positive
      return).

b. Excludes amortization of discount on CPL -- $92 million (FY24 -- $90 million)
c. Excludes release of provision for HIPC / MDRI -- $57 million release (FY24 -- $31 million release) and release of

      provision for grants -- $1 million (FY24 -- nil)

IDA's adjusted net income was $427 million in FY25, compared with adjusted net income of $780 million in
FY24 (Table 8). The decrease was primarily driven by the following factors:

 An increase of $674 million in borrowing expenses, mainly due to the higher average balance of borrowings
   outstanding in FY25 compared to FY24;

 An increase of $211 million in net non-interest expenses, mainly driven by higher administrative expenses,
   partially offset by the increase in revenue from externally funded activities;

 An increase of $110 million in provision expense for losses on loans and other exposures mainly attributable
   to rating changes, partially offset by the lower loss given default (severity) due to the change in the eligibility
   of a borrower from IDA-only to blend status, and the decrease in expected default frequency;

partially offset by:

 An increase of $382 million in net interest revenue from loans due to the increase in the average loan balance
   in FY25 by $16.3 billion from FY24;

 An increase of $238 million in net interest revenue on investments, primarily due to the increase in the average
   investment balance in FY25 by $8.2 billion from FY24.

                                     19
Table 9: Reconciliation of Net Income to Adjusted Net Income

In millions of U.S. dollars

For the fiscal year ended June 30 ,                                                                                                                           2025 2024

Net (Loss) Income (Table 7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           $(5,524) $(3,573)
Adjustments to reconcile Net (Loss) Income to Adjusted Net Income:
                                                                                                                                                              7,206   5,350
      Activities directly funded by member contributions a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         (515)   (291)
      Transfers from affiliated organizations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
      Currency remeasurement losses (gains), net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                       57      21
      Unrealized mark-to-market gains on non-trading portfolios, net b . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                 (457)   (392)
      Income from PEBP and PCRF Investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          (152)   (124)
      Pension Adjustment (Table 10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              (191)   (213)
      Externally Financed Outputs (EFO), Reserves Advisory Management Program (RAMP) and other
                                                                                                                                                              3          2
         Adjustments c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Adjusted Net Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 427 $ 780

a. Includes development grants of $7,200 million (FY24 -- $5,291 million)
b. Excludes $13 million of gains from revenue-related forward currency contracts and loan-related derivatives (FY24 

      $13 million of gains).
c. Includes EFO income subject to contractual donor restrictions and transferred to Restricted Retained Earnings; RAMP-

      related revenue and expenses excluded under a Board-approved framework to ensure use solely for program delivery;
      and unrealized mark-to-market gains/losses on certain positions in the investments trading portfolio.

Adjusted Net Income is defined as IDA's net income, adjusted for the following items (see Table 9 above).

Adjustments to Net (Loss) Income to arrive at Adjusted Net Income:

 Activities directly funded by contributions from members: These are mainly comprised of development grants,
   provision for HIPC / Multilateral Debt Relief Initiative (MDRI) debt relief, and amortization of discounts on
   CPL. For financial reporting, these activities are treated as expenses, while contributions from members which
   finance these activities, are reflected directly in IDA's equity. These expenses are excluded from net income to
   arrive at adjusted net income.

 Transfers from affiliated organizations: These are mainly comprised of contributions from IBRD, IFC and
   other contributions from trust funds. These are intended to finance development activities similar to member
   contributions but are not directly included in equity as they do not carry voting rights, and are excluded from
   net income to arrive at adjusted net income.

 Currency remeasurement losses (gains), net: These represent unrealized exchange rate gains/losses resulting
   from the translation of loans, borrowings, development grants payable and all other assets and liabilities still
   held on IDA's Balance Sheet that are denominated in currencies other than the component currencies of SDR.
   They are excluded from net income to arrive at adjusted net income.

 Unrealized mark-to-market gains/losses on non-trading portfolios, net: These are mainly comprised of
   unrealized mark-to-market gains and losses on the asset/liability management (ALM), borrowing, and non-
   trading investment portfolios. For the purpose of ANI, the result of loan revenue hedges is not part of the
   adjustment related to unrealized mark-to-market gains/losses on non-trading portfolio since the objective of
   the loan revenue hedges is to stabilize IDA's revenue against any currency risk.

 Pension, Post-Employment Benefit Plan (PEBP) and Post-Retirement Contribution Reserve (PCRF)
   adjustments: While IDA is not a participating sponsor to these benefit plans, IDA shares in the costs and
   reimburses IBRD for its proportionate share of any contributions made to these plans by IBRD, as part of a
   Board-approved cost sharing ratio. The Pension adjustment reflects the difference between IDA's share of cash
   contributions to both the pension plans and PCRF, and the accounting expense, as well as the investment

                                     20
   revenue earned on those assets related to the PEBP and PCRF. The PCRF was established by the Board to
   stabilize contributions to the pension and post-retirement benefits plans. Management has designated the
   income from these assets to meet the needs of the pension plans. As a result, PEBP and PCRF investment
   revenue is excluded from adjusted net income.
 Unrealized mark-to-market gains/losses on certain positions in the investment trading portfolios, net: This
   adjustment applies to trades where the unrealized gains and losses on derivative forward contracts are recorded
   in the income statement and the underlying physical assets being purchased and sold are recorded at amortized
   cost during the holding period. In these cases, the unrealized gains and losses on the forward contract at the
   end of the reporting period (if any) are excluded from net income when calculating adjusted net income.
 Other Adjustments:

      i. Under certain arrangements (such as EFOs), IDA receives a share of the revenue earned from agreements
         with donors under which funds received are to be used to finance specified outputs or services. These
         funds may be utilized only for the purposes specified in the agreements and are therefore considered
         contractually restricted until applied for these purposes. Income attributable to these arrangements is
         excluded from reported income when determining adjusted net income since there is no discretion about
         the use of these funds.

      ii. Under the Board-approved framework, RAMP fees are dedicated for the purpose of providing technical
         assistance and asset management services to external clients. Due to the potential timing mismatch
         between fee revenue (recognized as earned) and program expenditures (recognized as incurred), fees
         earned in a given fiscal year may be used to provide services in a future fiscal year. To ensure that RAMP
         revenues are only used for the delivery of RAMP services, and not allocated for other purposes, any
         difference between fee revenue and expenses from RAMP included in reported net income is excluded to
         arrive at adjusted net income.

Results from Financing Activities
Loan Portfolio and Grant Activity
As of June 30, 2025, net loans outstanding were $223.2 billion, $24.7 billion higher compared with June 30,
2024. The increase was mainly due to net loan disbursements of $16.0 billion during the year and translation
gains of $9.2 billion due to the appreciation of the SDR against the U.S. dollar. The undisbursed balance for loan
and grant commitments were $83.3 billion and $26.7 billion, respectively as of June 30, 2025.
As of June 30, 2025, 75% of IDA's total loans outstanding were denominated in the SDR. For the regional
presentation of total loans outstanding, see Notes to the Financial Statements for the year ended June 30, 2025,
Note D  Loans and Other Exposures  Table D7.
Certain of IDA's loan product offerings carry pricing terms equivalent to those of IBRD. The Board approved
adjustments to IBRD's loan pricing in October 2024. The following pricing adjustments are now applicable to
IDA's non-concessional loans offered on IBRD's flexible loan terms: 1) introduction of a grace period, during
which no commitment fees are charged for the first four years for Investment Project Financing (IPFs) and
Program-for-Results Financing (PforRs); 2) removal of the prepayment premium; and 3) introduction of a 7 year
Short Maturity Loan (SML) with a maturity discount applied to the contractual spread.

                                                                   21
     Figure 4: Net Loans Outstanding Activity                                           Figure 5: Net Loans Outstanding

                 In billions of U.S. dollars                                                  In billions of U.S. dollars

250              24.9                         9.1             223.2                250                                          223.2

     198.5                                                                              177.8 174.5 187.7 198.5

200                    (8.9)  (0.4)                                                200

150                                                                                150

100                                                                                100

50

                                                                                   50

0

     Net Loans Gross loan Repayments Accumulated Translation  Net Loans            0
                                                              outstanding                 Jun 21 Jun 22 Jun 23 Jun 24 Jun 25
     outstanding disbursements and provision for and other    as of June

     as of June        prepayments loan losses adjustments     30, 2025

     30, 2024

Provision for losses on loans and other exposures

In FY25, IDA recorded a provision expense for losses on loans and other exposures of $358 million compared to
a provision expense of $275 million in FY24 (see Notes to the Financial Statements for the year ended June 30,
2025, Note D  Loans and Other Exposures  Table D5). The increase in provision expense was primarily due to
rating changes, partially offset by the lower loss given default and a reduction in the expected default frequency
in FY25 compared to FY24. The assumptions are reassessed quarterly. For adjusted net income purposes, the
provision for losses on loans and other exposures excludes the provision for debt relief under HIPC/MDRI and
the provision for grant advances, since these are funded by contributions from members.

Results from Investing Activities

Investment interest revenue, net of derivatives

During FY25, IDA's net interest revenue from investments was $1,559 million, an increase of $242 million
compared with FY24. The increase in interest revenue was mainly driven by the higher average investment
balance in FY25 of $8.2 billion from FY24.

Investments

IDA's investments increased to $47.3 billion as of June 30, 2025, from $34.4 billion as of June 30, 2024. The
increase was primarily due to net cash inflows from new issuances of debt and subscriptions and contributions
paid-in, partially offset by net cash outflows from loan and grant disbursements during the year. See Notes to the
Financial Statements for the year ended June 30, 2025, Note C--Investments.

Figure 6: Investment Interest Revenue, Net of                                                 Figure 7: Investments
                      Derivatives
                                                                                              In billions of U.S. dollars

                 In millions of U.S. dollar                                             Government, Agency and Corporate Obligations

     2,000                                                                              Time Deposits

                                                                                        Other Investments

                                                                               50                                                      0.2

     1,500                                                                                    0.5
                                                                                              15.4
                                                                               40       0.6                      0.3                   20.6
                                                                               30       11.5                     14.7
     1,000                                                                                                 0.3
                                                                                                           11.7

     500                                                                       20       25.3 23.9                                      26.4

                                                                                                                     19.8 19.4
                                                                               10

     0                                                                         0
             FY21 FY22 FY23 FY24 FY25                                                  Jun 21 Jun 22 Jun 23 Jun 24 Jun 25

                                                                           22
Unrealized mark-to-market gains (losses) on investments-trading portfolio, net

During FY25, IDA's investments-trading portfolio, excluding IDA's share of returns from PEBP and PCRF, had
unrealized mark-to-market gains of $210 million, compared to $192 million of unrealized mark-to- market gains
in FY24. The unrealized mark-to-market gains in FY25 were mainly driven by the decrease in yields on EUR
denominated bonds in FY25.

Results from Borrowing Activities

Borrowing Expenses

In FY25, IDA's borrowing expenses, including related derivatives, were $2.3 billion, an increase of $0.7 billion
compared with FY24. The increase in borrowing expenses was primarily due to the higher average balance in
FY25 compared to FY24.

Borrowings

Market Borrowings Reported at Fair Value:

As of June 30, 2025, the value of the market borrowings carried at fair value was $45.1 billion, an increase of
$18.7 billion compared to June 30, 2024 ($26.4 billion). The increase was mainly due to the net new debt
issuances of $16.9 billion during the year.

Borrowings Reported at Amortized Cost:

As of June 30, 2025, the market borrowings recorded at amortized cost (fixed rate debt) were $18.1 billion, an
increase of $6.6 billion from June 30, 2024 ($11.5 billion). The increase was mainly due to the net new debt
issuances of $5.2 billion during the year.

Concessional Partner loans from members recorded at amortized cost were $7.6 billion as of June 30, 2025, an
increase of $0.6 billion from June 30, 2024 ($7.0 billion). See Notes to the Financial Statements for the year
ended June 30, 2025, Note E  Borrowings.

    Figure 8: Borrowing Expenses, Net                           Figure 9: Borrowings
              In millions of U.S. dollars
                                                                 In billions of U.S. dollars
2,500
                                                         Market borrowings at fair value
2,000                                                    Market borrowings at amortized cost
                                                         Concessional partner loans at amortized cost
1,500
                                               75
1,000
                                               60
  500
                                               45                          45.1
      0
              FY21 FY22 FY23 FY24 FY25         30                    26.4

                                                         19.7  16.8

                                               15  20.6        8.6   11.5  18.1

                                                         6.2

                                               0   7.7   7.0   7.2   7.0   7.6

                                                   Jun 21 Jun 22 Jun 23 Jun 24 Jun 25

                                           23
Transfers from Affiliated Organizations
Since 1964, IBRD has made transfers to IDA out of its net income, upon approval by the Board of Governors.
Under a formula-based approach for IBRD's income support to IDA, the amount of income transfer recommended
for IDA is a function of IBRD's financial results. On September 18, 2024, IBRD's Board of Governors approved a
transfer of $515 million, which was received by IDA on September 30, 2024. The transfer was recorded in the
Transfers from affiliated organizations line in the Condensed Statements of Income (Table 7).
Net Non-Interest Expense
IDA's net non-interest expenses are primarily comprised of administrative expenses, net of revenue from
externally-funded activities. IBRD and IDA's administrative budget is a single resource envelope that funds the
combined work programs of both entities. The allocation of administrative expenses between IBRD and IDA is
based on an agreed cost and revenue sharing methodology, approved by their Boards. The allocation is primarily
driven by the relative level of activities relating to lending, knowledge services and other services between the
two institutions. The administrative expenses shown in the table below include costs related to IDA executed
trust funds and other externally funded activities.

                                 Figure 10: Net Non-Interest Expenses (Reported Basis)
                                                             In millions of U.S. dollars

                                               1,600
                                               1,200

                                                  800
                                                  400

                                                     0
                                                              FY21 FY22 FY23 FY24 FY25

The increase in net non-interest expenses from FY24 to FY25, on both a reported basis and adjusted net income
basis, was primarily due to higher administrative expenses, partially offset by the higher revenue from externally
funded activities (Table 10).

                                                                   24
Table 10: Net Non-Interest Expenses

In millions of U.S. dollars                                                                                                                      2025 2024 Variance
For the fiscal year ended June 30,

Administrative expenses:                                                                                                                         $ 1,462   $ 1,314   $148
   Staff costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       197       180      17
   Travel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      661       578      83
   Consultant and contractual services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                       128         98     30
   Pension and other post-retirement benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          118       107      11
   Communications and technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         149       139      10
   Premises and equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    22        19      3
   Other expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total administrative expenses a (Table 7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,737 $ 2,435 $302

Contributions to special programs (Table 7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                        20        20        --

Revenue from externally funded activities:                                                                                                       (768)     (705)       (63)
   Reimbursable revenue  Bank-executed activities for trust funds . . . . . . . . . . . . . . . . . . . . .                                      (47)      (44)        (3)
   Reimbursable advisory services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   (88)      (93)         5
   Revenue  trust funds administration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                            3
   Restricted revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           (5)       (8)       (1)
   Revenue  Asset Management Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          (17)      (16)        (8)
   Other revenue b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       (173)     (165)     $ (67)
                                                                                                                                                                     $235
      Total revenue from externally funded activities (Table 7) . . . . . . . . . . . . . . . . . . . . . . $(1,098) $(1,031)
Total net non-interest expenses--Reported Basis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,659 $ 1,424                                      (24)
                                                                                                                                                                     $211
Adjustments to arrive at Net non-interest expenses--Non-GAAP measure

Pension, RAMP and EFO adjustments c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                            187       211

Net non-interest expenses (Table 8)--Non-GAAP measure . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,846 $ 1,635

a. Includes expenses related to Bank-executed activities for trust funds of $768 million for FY25 and $705 million for
      FY24.

b. Includes fee revenue associated with services provided to affiliated organizations of $113 million in FY25 ($106 million
      in FY24). See Notes to Financial Statements, Note H: Transactions with Affiliated Organizations.

c. Components of this adjustment are included in Table 9, and are excluded from Net non-interest expenses on adjusted net
      income basis.

IDA's goal is to have its net administrative expenses covered by its loan revenue (interest, service charges,
commitment fees, and guarantee fees). Thus, IDA monitors its net administrative expenses as a percentage of its
loan revenue, using a measure referred to as the budget anchor. In FY25, IDA's budget anchor was 66.7%, higher
by 1.1% compared to FY24, primarily due to the relative increase in net non-interest expenses outpacing the
increase in budget anchor revenue in FY25 when compared to FY24. See Table 11.

                                     25
Table 11: Budget Anchor

In millions of U.S. dollars

For the fiscal year ended June 30,                                                                                           2025 2024 Variance

Net Non-interest Expenses (Table 10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,659 $ 1,424 $ 235

Pension, RAMP, EFO and other adjustments a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         189  211                 (22)

Total expenses for Budget Anchor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,848 $ 1,635 $ 213

Interest Revenue from Loans (Table 7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $ 3,021 $ 2,639          $ 382
Less: Borrowing expenses associated with loans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             (321) (209)            (112)

Interest revenue from Loans, net of associated borrowing expenses . . . . . . . . . . . . . . . . . . . .                    $ 2,700 $ 2,430          $ 270

Commitment charges, Guarantee fees and others (Table 12) . . . . . . . . . . . . . . . . . . . . . . . . . .                 59   51                        8
                                                                                                                                                           --
Gains on revenue-related forward currency contracts and loan-related derivatives . . . . . . . . .                           13   13
                                                                                                                                                      $ 278
Total revenue for Budget Anchor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,772 $ 2,494

Budget Anchor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66.7% 65.6%   1.1%
a. These adjustments are made to arrive at total expenses for budget anchor purpose.

Table 12: Other Revenue (Expenses), Net

In millions of U.S. dollars

For the fiscal year ended June 30,                                                                                           2025 2024 Variance

PPA grants and others a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(28) $(23) $ (5)

Guarantee fees and others b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 25   10

Commitment charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 26  (3)

Gains (losses) from revenue-related forward currency contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 13                          --

Other revenue (expenses), net (Table 8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 43 $ 41 $ 2

a. Reflects exclusion of $28 million of Project Preparation Facility Grant expenses directly funded by members
      (FY24--nil).

b. Included in Non-interest revenue  Other in the Statements of Income.

Unrealized mark-to-market gains (losses) on non-trading portfolios, net

During FY25, the non-trading portfolios had $470 million net unrealized mark-to-market gains ($405 million net
unrealized mark-to-market gains in FY24). The increase was mainly driven by higher unrealized mark-to-market
gains from the derivatives held for the Capital Value Protection Program (CVP), managed as part of Asset/
Liability Management (ALM), as a result of a higher increase in the interest rates for long tenors in FY25
compared to FY24.

                                         26
Table 13: Unrealized Mark-to-Market Gains (Losses) on Non-trading Portfolios, Net

In millions of U.S. dollars

For the fiscal year ended June 30,                                                                                                                         2025 2024 Variance

Asset/liability management (ALM) a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                     $484 $393  $ 91
Investment portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          1
Borrowing portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          5  4
Loan-related derivatives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         (36)
Other b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  (2) 34        (3)
                                                                                                                                                                        12
                                                                                                                                                           (5) (2)

                                                                                                                                                           (12) (24)

Unrealized Mark-to-Market Gains (Losses) on Non-trading Portfolios, Net--Reported Basis

(Table 7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 470 405       65

a. Includes unrealized mark-to-market gains (losses) on the CVP portfolio and other ALM portfolios.
b. Represents unrealized mark-to-market gains (losses) on PSW associated instruments.

Currency remeasurement gains (losses), net

Currency remeasurement gains or losses represent unrealized exchange rate gains or losses resulting from the
hedging of exchange rate risk related to future donor contributions, borrowings, and all other assets and liabilities
held on IDA's Balance Sheet, that are denominated in currencies other than the SDR and its component
currencies. The remeasurement losses in FY25 and FY24 were primarily driven by the hedging of exchange rate
risk related to future donor contributions. Certain members pledge their future equity contributions in non-SDR
currencies. These future cash flows are economically hedged using currency forwards. The economic offset is
inherent in the future contribution inflows. The payable portion of the currency forward contracts are
denominated in non-functional currencies. The depreciation or appreciation of these currencies against the U.S.
dollar results in exchange rate gains or losses which are recorded in the income statements. Accordingly, the
remeasurement losses on non-functional currencies were $57 million in FY25 and $21 million in FY24. The
remeasurement losses in FY25 and FY24 were primarily driven by the appreciation of certain non-functional
currencies against the U.S. dollar.

                                    27
     SECTION V: DEVELOPMENT ACTIVITIES, PRODUCTS AND PROGRAMS

Lending Framework

IDA provides financing to lower-income countries primarily through loans, grants and guarantees. IDA has a
common framework which extends across all of its development activities. The main elements of this framework
are financing principles, financing cycles and financing categories.

Financing Principles

IDA's operations are required to conform to the general principles derived from its Articles of Agreement. These
financing principles are described in Box 2. Within the scope permitted by the Articles of Agreement, application
of these financing principles must be developed and adjusted in light of experience and changing conditions.

Box 2: Financing Principles

 (i) IDA may provide financing for its development operations in the form of loans, grants, and guarantees
       directly to its members, public or private entities and regional or public international organizations.

 (ii) IDA's financing of its development operations is designed to promote economic development, increase
       productivity, and thus raise standards of living in its member countries. Investment projects financed by
       IDA are required to meet IDA's standards for technical, economic, financial, institutional, and
       environmental soundness. Specific provisions apply to development policy financing, including the
       treatment of the macroeconomic framework, poverty and social impact, environment, forests, and other
       natural resources.

 (iii) Decisions to approve financing are based upon, among other things, studies by IDA of a member
       country's economic structure, including assessments of its resources and ability to generate sufficient
       foreign exchange to meet debt-service obligations.

 (iv) IDA must be satisfied that in the prevailing market conditions (taking into account the member's overall
       external financing requirements); the recipient would be unable to obtain financing under conditions
       which, in the opinion of IDA, are reasonable for the recipient. This would include loans made by private
       sources or IBRD.

 (v) The use of funds by recipients is supervised. IDA makes arrangements intended to ensure that funds
       provided are used only for authorized purposes and, where relevant, with due attention to considerations
       of cost-effectiveness. This policy is enforced primarily by requiring recipients (a) to submit
       documentation establishing, to IDA's satisfaction, that the expenditures financed with the proceeds of
       loans or grants are made in conformity with the applicable financing agreements, and (b) to maximize
       competition in the procurement of goods and services by using, wherever possible, international
       competitive bidding procedures or, when it is not appropriate, other procedures that ensure maximum
       economy and efficiency. In addition, IDA considers the use of recipient country procurement, financial
       management and environmental and social safeguard systems in selected operations once these systems
       and capacity have been assessed by IDA as acceptable.

Financing Cycles

Financing cycles involve identifying and appraising a project and approving and disbursing the funds. In
response to emergency situations, such as natural disasters and other crises, IDA is able to accelerate the
preparation and approval cycle. In most cases, IDA's Board approves each loan, grant, and guarantee after
appraisal of a project by staff. Under a Multiphase Programmatic Approach (MPA), the Board may approve an
overall program framework, its financing envelope and the first appraised phase, and then authorize management
to appraise and commit financing for later program phases. Disbursements are subject to the fulfillment of
conditions set out in the loan or grant agreement. As of June 30, 2025, $25.8 billion was committed under the
MPA.

                                                                   28
During implementation of IDA-supported operations, staff review progress, monitor compliance with IDA's
policies, and assist in resolving any problems that may arise. An independent unit, the Independent Evaluations
Group, assesses the extent to which operations have met their objectives, and reports directly to the Board.

Financing Categories
Most of IDA's lending is of three types: investment project financing, development policy financing, and
program-for-results. Figure 11 shows the percentage of loans, grants, and guarantees approved for the three
financing instruments over the past five fiscal years.

                Figure 11: Percentage Share of Lending Categories for Annual Net Commitments
                                            In billions of U.S. dollars, except rates in percentages

% of total net commitments  100%  $36.0         $37.7      $34.2    $31.2  $39.9
                             75%  12%           12%        19%      11%    14%
                             50%  19%            9%        19%      20%    17%
                             25%
                                  69%           79%        62%      69%    69%

                            0%                  FY22       FY23     FY24   FY25
                                          FY21
                                                Development Policy  Program-for-Results
                            Investment Project

Investment Project Financing (IPF)

IPF provides financing for a wide range of activities aimed at creating the physical and social infrastructure
necessary to reduce poverty and create sustainable development. IPF generally disburses over 5 to 10 years.
FY25 net IPF commitments totaled $27.3 billion, compared with $21.6 billion in FY24.

Development Policy Financing (DPF)

DPF provides fast-disbursing financing to support borrowers in achieving sustainable development through a
program of policy and institutional actions. Examples of DPF projects include strengthening public financial
management, improving the investment climate, addressing bottlenecks to improve service delivery, and
diversifying the economy. DPF supports such reforms through non-earmarked general budget financing. FY25
net commitments under DPF totaled $7.0 billion, compared with $6.2 billion in FY24.

Program-for-Results (PforR)

PforR helps countries improve the design and implementation of their development programs and achieve
specific results by strengthening institutions and building capacity. PforR disburses when agreed results are
achieved and verified. Results are identified and agreed upon during the preparation stage. FY25 net
commitments under PforR totaled $5.6 billion, compared with $3.5 billion in FY24.

                                                       29
Financial Terms

Commitment Currency

The currency of commitment for IDA grants and concessional loans is predominantly the SDR. However, in
response to client needs to reduce currency exposure and simplify debt management, IDA offers a Single
Currency Lending option that allows IDA financing recipients to denominate new IDA loans in U.S. dollar, euro,
pound sterling, or Japanese yen.

Box 3: Summary of Financial Terms for IDA Lending Products, Effective June 30, 2025

Instrument type a      Currencies      Maturity/Grace      Service Charges           Interest rates
                                            Period

Grant                  SDR             Not applicable      Not applicable            Not applicable

Regular-Term loan      SDR, USD, EUR,  38/6 years          75bps SDR equivalent      Not applicable
                           GBP, JPY                            service charge

Regular-Small          SDR, USD, EUR,  40/10 years         75bps SDR equivalent      Not applicable
Economy loan               GBP, JPY                            service charge

Blend-Term loan        SDR, USD, EUR,  30/5 years          75bps SDR equivalent         1.25% SDR
                           GBP, JPY                            service charge        equivalent interest

                                                                                             rate

50-year loan           SDR, USD, EUR,  50/10 years         Zero interest and         Zero interest and
                           GBP, JPY                         service charge            service charge

Shorter Maturity Loan  SDR, USD, EUR,  12/6 years          Zero interest and         Zero interest and
(SML)                      GBP, JPY                         service charge            service charge

Non-concessional       USD, EUR, GBP,     Up to 35 years     25 bps one-time         IBRD Flexible
loans --                       JPY     maximum; up to 20       front-end fee          Loan terms b
Scale-up Window
(SUW)                                     years average    25 bps commitment
                                             maturity                fee

Catastrophe Deferred   SDR, USD, EUR,  Three years that    Before Drawdown: Front end fee and
Draw Down Option           GBP, JPY    may be renewed      renewal fee are set at 0.5% and 0.25%
(CAT DDO) c d                                              respectively under SUW option, and at 0%
                                          once for a       under PBA or Undisbursed balances option.
                                       maximum of six
                                                           After Drawdown:
                                         years in total    - Under PBA or Undisbursed balances
                                                           option--IDA concessional rates would
                                                           apply.
                                                           - Under SUW option--non-concessional
                                                           rates would apply.

IPF DDO e              SDR, USD, EUR,  Up to 5 years, and  Before Drawdown: Front-End Fee and
                           GBP, JPY    can be renewed for  Stand-by Feef are set at 25 and 50 bps
                                                           respectively. There is no Renewal Fee.
                                          3 more years
                                                           After Drawdown: Follow standard IDA
                                                           concessional fee terms.

a. Prior to July 1, 2017, IDA offered Hard-Term loans to Blend Countries (excluding Small Island Economies). They had a
      single currency option, and had terms equivalent to IBRD's fixed spread loans, less 200 bps, a variable option was also
      available. Hard-term loans are no longer offered.

b. There is an implicit floor of zero on the overall interest rate in IDA's non-concessional loans.
c. The volume of committed and undisbursed CAT DDOs financed by IDA is limited to 1.0 percent of the country's GDP or

      USD 500 million, whichever is lower.
d. The Cat DDO may be renewed once, for a maximum of six years in total.
e. For IPF DDO operations confirmed to have a specific crisis or emergency preparedness objective, IDA would cover

      half the cost of the IPF DDO for IDA countries.
f. The standby fee for IPF DDO financed from IDA's concessional windows is determined on an annual basis from 0% up

      to a maximum of 0.50% per year (0% for FY25).

                                       30
Charges on Loans and Grants

Service charges and interest income earned on IDA's loans are reported as Interest revenue on loans, net in the
Statements of Income. Commitment charges earned on loans and grants, if any, are reported as non-interest
revenue in the Statements of Income.

Service Charge: A service charge is levied on the principal amount disbursed and outstanding on all Regular,
Small Economy, and Blend term loans, regardless of repayment terms, at 0.75% per annum.

Interest: Interest is charged on all loans subject to blend terms, hard-term loans, and non-concessional loans.
Further, loans offered under non-concessional terms are available at variable interest rates on IBRD terms. All
other rates are fixed, see Box 3.

Commitment Charge: A commitment charge, which is payable on any undisbursed loan or grant amount, is
set by the Board at the beginning of each fiscal year. Commitment charges are set at a level to ensure that net
loan revenue covers IDA's administrative expenses over the medium term. For FY25, commitment charges on
concessional loans remain at zero. The commitment charge on non-concessional loans is aligned to IBRD terms,
which is 0.25% per annum.

Repayment Terms

IDA's lending terms recognize the variation in economic development of broad categories of IDA recipients.
Since 1987, the legal agreements of IDA concessional loans include an accelerated repayment clause to double
the principal repayments of the loan if the borrower's GNI per capita exceeds a specific threshold and the
borrower is eligible for IBRD financing. Implementation is subject to negotiation with the borrower and approval
by IDA's Board after considering a borrower's economic development. The borrower can further negotiate either
to (a) shorten the loan's maturity (principal option), (b) pay interest at a rate that would result in the same net
present value (interest option), or a combination of the two options.

As of June 30, 2025, $22.4 billion of qualifying loans outstanding from 13 borrowers that have graduated from
IDA since the introduction of the accelerated repayment clause have accelerated repayment terms. Of these 13
borrowers, 7 borrowers selected the principal option, 5 borrowers selected the interest option, and 1 borrower
selected a combination of the two options.

The accelerated repayment clauses in all of these legal agreements also allow a borrower to subsequently request
pausing of those accelerated terms or cancellation if economic conditions in the borrower's country have
deteriorated, in which case, the terms of repayment can revert to the original terms of the financing agreements.
As repayment accelerations, pausing of accelerations, and cancellation are contemplated in the original terms of
the instruments, they do not constitute loan modifications.

IDA has started offering climate resilient debt clauses (CRDCs) in some of its new and existing loans (with
minimum remaining maturity of five years), for certain borrowers4. See paragraph Climate Resilient Debt Clause
(CRDC) for details.

Loans, Grants and Guarantee Activity

Commitments

FY25 net loan and guarantee commitments were $31.7 billion, an increase of $8.6 billion or 37% over FY24
($23.1 billion). There were $611 million of guarantee commitments in FY25 and none in FY24 (Table 14). See
Section VI:Other Development Activities and Programs.

4 Eligible borrowers are IDA Small State Economies, members of the Small States Forum, and Small Island Developing
      States as defined by the United Nations.

                                                                   31
FY25 net commitments of grants were $8.2 billion, an increase of $0.1 billion compared to FY24 ($8.1 billion)
(Table 15).

Table 14: Net Commitments of Loans and Guarantees by Region

In millions of U.S. dollars

For the fiscal year ended June 30,                                                                        2025 % of total 2024 % of total Variance

Eastern and Southern Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 $ 6,803   21% $ 7,119       31% $ (316)
Western and Central Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   9,669
East Asia and Pacific . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                590  31% 7,777         34% 1,892
Europe and Central Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  7,635
Latin America and the Caribbean . . . . . . . . . . . . . . . . . . . . . . . . . . .                          914  2% 1,056          5%        (466)
Middle East and North Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                        --
South Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         6,041  24%       989     4% 6,646

                                                                                                                    3%        251     1%        663

                                                                                                                    --%       40      *         (40)

                                                                                                                    19% 5,862         25%       179

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $31,652 100% $23,094 100% $8,558

* indicates percentage less than 0.5%.

Table 15: Net Commitments of Grants by Region

In millions of U.S. dollars

For the fiscal year ended June 30,                                                                        2025 % of total 2024 % of total Variance

Eastern and Southern Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             $5,035    61% $5,616        69% $(581)
Western and Central Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               882
East Asia and Pacific . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          698    11% 1,497         19%       (615)
Europe and Central Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              448
Latin America and the Caribbean . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    166    9%        182     2%        516
Middle East and North Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 465
South Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     520    5%        111     1%        337

                                                                                                                    2%        18      *         148

                                                                                                                    6%        300     4%        165

                                                                                                                    6%        377     5%        143

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $8,214 100% $8,101 100% $ 113

* indicates percentage less than 0.5%.

Table 16: Gross Disbursements of Loans and Grants by Region
In millions of U.S. dollars

                                                                                      2025                                    2024

For the fiscal year ended June 30,                                          Loans a Grants Total Loans a Grants Total Variance

Eastern and Southern Africa . . . . . . . . . . . . . . . . . .             $ 7,031   $4,943              $11,974   $ 6,672   $4,024  $10,696   $1,278
Western and Central Africa . . . . . . . . . . . . . . . . . . .               6,261   1,882                 8,143     7,216   1,791     9,007    (864)
East Asia and Pacific . . . . . . . . . . . . . . . . . . . . . . . .            946                         1,232       839             1,015     217
Europe and Central Asia . . . . . . . . . . . . . . . . . . . . .              5,897     286                 6,165       900     176     1,187   4,978
Latin America and the Caribbean . . . . . . . . . . . . . .                      447     268                   616       430     287       602       14
Middle East and North Africa . . . . . . . . . . . . . . . . .                    30     169                   466        97     172       587    (121)
South Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     4,179     436                 4,527     4,902     490     5,153    (626)
                                                                                         348                                     251

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $24,791 $8,332 $33,123 $21,056 $7,191 $28,247 $4,876

a. Excludes PSW related disbursements--$93 million (FY24--$137 million) and includes disbursements towards
      guarantees called - $212 million (FY24--$100 million).

As of June 30, 2025, 50% of IDA's loans were on regular terms (75 basis points SDR-equivalent service charge)
(Table 17). The increase in IDA's revenue from loans in FY25 compared to FY24 was primarily due to the
higher average balances by $16.3 billion.

                                                                            32
Table 17: Revenue and Loan Balances by Product Category
In millions of U.S. dollars

                                                                                                       Interest revenue on loans a

                                                                               Balance as of June 30,  For the fiscal year ended June 30,

Category                                                                       2025       2024         2025     2024

Loans                                                                          $113,455   $106,972     $ 844    $ 824
   Concessional                                                                   81,160     74,162     1,308    1,183
      Regular . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        1,279      1,240
      Blend . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        7,559      5,287         41       42
      Hard b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       4,672      2,390       NA       NA
      Concessional Shorter-Maturity Loans . . . . . . .                           19,118     12,111       NA       NA
      50-year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          644        386       783      553
   Non-concessional c . . . . . . . . . . . . . . . . . . . . . . . .                                       30       18
   Others d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $227,887   $202,548
                                                                                                       $3,006   $2,620
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

a. Excludes interest rate swap income or expense from loan related derivatives--$15 million of income in FY25 ($19
      million of income in FY24).

b. Effective FY18, Hard-term loans are no longer offered.
c. In addition, $23 million of commitment charges were earned in FY25 on undisbursed balances of non-concessional

      loans ($26 million in FY24).
d. Represents loans under the PSW and others.

Climate Resilient Debt Clause (CRDC)

IDA offers CRDCs for eligible new and existing loans (with minimum remaining maturity of five years), for
certain borrowers5. CRDCs allow eligible borrowing countries to defer payments of principal and/or interest (and
other loan charges) for up to two years after an eligible event. After the deferral period, the borrower will restart
payments of the deferred amounts according to a modified amortization schedule that maintains the original
weighted average maturity of the loan and does not extend the final maturity date. The eligible events when the
clause was first offered were tropical cyclones and earthquakes. In October 2024, the Board approved an
extension of the covered events to include all natural catastrophes, including droughts, floods, and public health
emergencies caused by a biological event. Total IDA loans outstanding as of June 30, 2025 for the 27 countries
(including Blend countries) that are eligible to adopt the clause for CRDCs was $5.2 billion.

5 Eligible borrowers are IDA Small State Economies, members of the Small States Forum, and Small Island Developing
      States as defined by the United Nations.

                                                                   33
       SECTION VI: OTHER DEVELOPMENT ACTIVITIES AND PROGRAMS

IDA has products, services, and programs, other than lending, that it offers to its borrowing member countries to
help them meet their development goals. These include guarantees, debt relief, trust fund administration, and
externally funded reimbursable advisory services.

Guarantees

IDA offers both project-based and policy-based guarantees. These guarantees are available for projects and
programs in member countries to help mobilize private financing for development purposes. IDA's guarantees
are partial in nature as they are intended to cover risks only to the extent necessary to obtain the required private
financing, taking into account country, market and, if appropriate, project circumstances. IDA's guarantees
require a sovereign counter-guarantee and indemnity, comparable to the requirement of a sovereign guarantee for
IDA lending to sub-sovereign and non-sovereign borrowers. See Box 4 for the types of guarantees that IDA
provides. These guarantees are separate and distinct from those offered under the Private Sector Window. On
July 1, 2024, the WBG Guarantee Platform, housed at MIGA, was launched to bring together products and
experts from the World Bank, IFC, and MIGA and help boost WBG annual guarantee issuances for all entities.

Box 4: Types of Guarantees

Project-based  Project-based guarantees are provided to mobilize private financing for a project and/or mitigate
guarantees     payment and/or performance related risks of a project. There are two types:

               1. Loan guarantees: these cover loan-related debt service defaults caused by the government's failure
                     to meet specific payment and/or performance obligations arising from contract, law, or regulation.
                     Loan guarantees include coverage for debt service defaults on: (i) commercial debt, normally for a
                     private sector project; and, (ii) a specific portion of commercial debt irrespective of the cause of
                     such default, normally for a public-sector project.

               2. Payment guarantees: These cover payment default on non-loan related government payment
                     obligations to private entities and foreign public entities arising from contract, law, or regulation.

Policy-based   Policy-based guarantees are provided to mobilize private financing for sovereigns or sub-sovereigns.
guarantees     They cover debt service default, irrespective of the cause of such default, on a specific portion of
               commercial debt owed by government and associated with the supported government's program of
               policy and institutional actions.

Guarantee Exposure

IDA's guarantee exposure is measured by discounting each guaranteed amount from its next call date. IDA had
$2,813 million of guarantee exposure as of June 30, 2025 ($2,774 million--June 30, 2024), including guarantee
exposure under PSW guarantees of $1,173 million as of June 30, 2025 ($1,169 million--June 30, 2024). For
additional information, see Notes to the Financial Statements for the year ended June 30, 2025, Notes D  Loans
and Other Exposures and Note H  Transactions with Affiliated Organizations.

Other Financial Products and Services

IDA facilitates access to risk management solutions to mitigate the financial effects of natural disasters for
borrowing members. Financial solutions can include disaster risk financing through catastrophe swaps, insurance
and reinsurance contracts, and regional pooling facilities.

The Catastrophe Deferred Draw-Down Option (CAT-DDO) promotes countries' resilience to disasters and
expands the range of IDA's crisis instruments. The CAT-DDO is a contingent credit line that provides immediate
liquidity to countries in the aftermath of a catastrophe and serves as early financing while funds from other
sources such as bilateral aid or reconstruction loans are being mobilized. CAT-DDOs are intended to enhance
IDA countries' capacity to plan for and manage crises. As of June 30, 2025, the amount of CAT DDOs disbursed
and outstanding was $677 million ($436 million as of June 30, 2024), and the undisbursed amount of effective or
disbursing CAT DDOs was $460 million, compared to $224 million a year earlier.

                            34
Grant Making Facilities

Grant Making Facilities (GMFs) are contributions to specific trust funds and are complementary to IDA's work.
In FY25, the amount under this program was $20 million in accordance with the cost sharing agreement with
IBRD (FY24  $20 million). These amounts are recorded in Non-Interest Expenses  Contribution to Special
Programs in IDA's Statements of Income.

Debt Relief

The Heavily Indebted Poor Countries Debt Initiative (HIPC Initiative) was launched in 1996 as a joint effort by
bilateral and multilateral creditors to provide debt relief to the poorest countries to reduce their external debt
payments to sustainable levels. Under the HIPC initiative, implementation mechanisms include partial
forgiveness of IDA debt service as it comes due and partial repayment with IDA resources of outstanding IBRD
debt. The Multilateral Debt Relief Initiative (MDRI) was implemented in 2006 and provides debt relief by
writing-off eligible loans upon qualifying borrowers reaching the HIPC Completion Point. Both initiatives are
part of a global effort focused on heavily indebted poor countries with strong policy performance. The initiatives
aim to reduce the external debt of eligible countries as part of a broader poverty reduction strategy, whilst
safeguarding the long-term financial capacity of IDA and other participating multilateral institutions; and
encouraging the best use of additional member resources for development, by allocating these resources to low-
income countries on the basis of policy performance.

In order to receive irrevocable debt relief, eligible countries are required to maintain macroeconomic stability,
carry out key structural and social reforms, and implement a Poverty Reduction Strategy, in addition to being in
good standing with respect to all eligible debt repayments. To ensure IDA's financial capacity was not eroded,
members agreed to compensate IDA with additional contributions to offset the impact of the forgone reflows,
resulting from the provision of debt relief.

The accumulated provision for debt relief was recorded at the inception of the initiative and is based on both
quantitative and qualitative analyses of various factors, including estimates of the Decision and the Completion
Point dates. These factors are periodically reviewed, and the adequacy of the accumulated provision is reassessed
and adjusted to reflect the impact of any changes.

During FY25, HIPC debt relief was provided on $12 million of loans ($10 million in FY24). HIPC debt relief on
service charges for FY25 was less than $1 million (FY24 -- Nil). On a cumulative basis, debt relief has been
provided on $2.2 billion of loans and $335 million of service charges under HIPC as of June 30, 2025.

During FY25, there were no loans eligible for relief under MDRI. On a cumulative basis, debt relief has been
provided on $40.3 billion of loans under the MDRI as of June 30, 2025. The provision for the debt relief was
recorded at the beginning of the MDRI Initiative.

Externally-Funded Activities

Mobilization of external funds from third-party partners includes trust funds. Additional external funds include
reimbursable funds and revenues from fee-based services to member countries, which are related to
Reimbursable Advisory Services (RAS) and EFO.

Trust Funds

Trust Funds are a part of the WBG's development activities, providing resources and added flexibility in
providing development solutions that serve member recipients and donors alike. The partnerships funded by trust
funds often serve as a platform from which IDA and its members can draw on the WBG's diverse technical and
financial resources to achieve development goals that cannot be addressed effectively by any single member,
given their complexity, scale, and scope. IDA's roles and responsibilities in managing trust funds depend on the
type of fund, outlined as follows:

 Bank-executed activities for trust funds: IDA, alone or jointly with one or more of its affiliated organizations,
   manages the funds and implements the activities financed. These trust funds support IDA's

                                                                   35
   work program. IDA, as an executing agency, disbursed $768 million in FY25 ($705 million in FY24) of trust
   fund program funds, which was included in Non-interest expense, Administrative in IDA's Statements of
   Income with corresponding revenue included in Non-interest revenue, Revenue from externally funded
   activities.

 Recipient-executed activities for trust funds: Funds are provided to a third party, normally in the form of
   project grant financing, and are supervised by IDA.

 Financial Intermediary Funds (FIFs): IDA, as a trustee, administrator, or treasury manager, offers specific
   administrative or financial services with a limited operational role. Arrangements include the administration of
   debt service trust funds, fiscal agency funds and other more specialized limited fund management roles.

IDA uses a cost recovery framework for trust funds, which aims to recover the costs of performing agreed roles
in administrating trust funds, and is guided by principles of transparency, fairness, simplification,
standardization, predictability, and consistent treatment across all trust fund donors.

Management continues to implement measures to better integrate planning, support sustainability and enhance
alignment of external funds with mission priorities through greater use of umbrella trust fund programs.

During FY25, IDA's share of revenue and fees from trust fund administration activity was $88 million ($93
million in FY24). The decrease in fees was mainly driven by lower levels of trust fund disbursement activity. For
additional information, see Notes to the Financial Statements for the year ended June 30, 2025, Note K--Trust
Funds Administration.

As noted in the discussion of trust fund activities above, IDA, alone or jointly with one or more of its affiliated
organizations, administers funds restricted for specific uses on the donors' behalf. Such administration is
governed by agreements with donors, who include members, their agencies, and other entities. These funds are
held in trust and are not included on IDA's Balance Sheets. See Table 18. These funds did not include $734
million of undisbursed third-party contributions made to Bank-executed activities for trust funds, which are
recognized on IDA's Balance Sheets. These amounts are included in Other assets and the corresponding
liabilities are included in Accounts payable and miscellaneous liabilities on the Balance Sheets.

Table 18: Funds Held in Trust by IDA

In millions of U.S. dollars

                                                                                                                                                               Total Fiduciary Assets

As of June 30,                                                                                                                                                 2025      2024

Bank-executed activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             $ 28      $ 27
Jointly executed with affiliated organization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                           1,059     1,085
Recipient-executed activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   2,147     2,173
Financial intermediary funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      252       301
Execution not yet assigned a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  6,643     6,447

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $10,129   $10,033

a. These represent assets held in trust for which the determination as to the type of execution is yet to be finalized.

Reimbursable Advisory Services (RAS)

While most of IDA's advisory and analytical work is financed by its own budget or donor contributions (e.g.,
trust funds), clients may also pay for services. IDA offers technical assistance and other advisory services to its
member countries, in connection with, and independent of, lending operations. Available services include, for
example, assigning qualified professionals to survey developmental opportunities in member countries; analyzing
member countries fiscal, economic, and developmental environments; helping members devise coordinated
development programs; and improving their asset and liability management techniques. In FY25, income relating
to reimbursable advisory services was $47 million (FY24 -- $44 million).

                                      36
Externally Financed Outputs (EFOs)
IDA offers donors the ability to contribute to specific projects and programs. EFO contributions are recorded as
restricted revenue when received because they are for contractually specified purposes. IDA received and
recorded $5 million of restricted revenue in FY25 (FY24 -- $8 million), which was included in the line "Total
net non-interest expenses  Reported basis" in Table 10.
Restrictions are released once the funds are used for the purposes specified by donors. In FY25, there was a
release of $8 million (FY24 -- $8 million).

                                                                   37
                           SECTION VII: INVESTMENT ACTIVITIES

As of June 30, 2025, IDA's investments totaled $47.3 billion (Figure 12). See the Notes to the Financial
Statements for the year ended June 30, 2025, Note C  Investments.

          Figure 12: Investments

          In billions of U.S. dollars

          Trading Non-trading

50                                     0.1

40  0.5   0.4

                    0.3  0.2

30

20                                     47.2

    36.9  39.4           34.2

                31.5

10

0
        Jun 21 Jun 22 Jun 23 Jun 24 Jun 25

Investments  Trading

The primary objective of IDA's investments-trading strategy continues to be preservation of capital within
institutional constraints. Consistent with this primary objective, IDA invests in high quality instruments. IDA
aims to earn reasonable investment returns, while ensuring timely availability of funds for future cash flow
requirements, including disbursements for loans, grants, debt service, and administrative expenses (see Note C
--Investments).

As of June 30, 2025, $33.1 billion (approximately 70% of total volume) of the Investments--Trading was due to
mature within six months, of which $10.9 billion was expected to mature within one month.

IDA's total return on its investments-trading portfolio for FY25 excluding unrealized mark-to-market gains /
losses on PEBP and PCRF assets (liquid asset portfolio) was 4.36%, compared to 4.58% in FY24, consistent with
the decreasing interest rate environment.

IDA's liquid assets are held mainly in the following types of highly rated, fixed-income instruments. See Box 7
for eligibility criteria for IDA's investments.

 Government, Agency and Corporate Obligations.

 Time deposits, and other unconditional obligations of banks and financial institutions.

 Asset-backed securities (including mortgage-backed securities).

 Currency and interest rate derivatives (including currency forward contracts).

 Exchange-traded options and futures.

IDA's prudential minimum liquidity policy ensures that it holds sufficient liquidity. The prudential minimum
liquidity level is set at 80% of 24 months of projected net outflows. The prudential minimum for FY26 has been
set at $37.0 billion, compared to $29.5 billion for FY25, a $7.5 billion increase due to higher projected debt
service and net loan disbursements. See Section IX: Risk Management for details on how IDA manages liquidity
risk.

Investments--Non-Trading

During FY15, with the proceeds of a concessional loan from a member, IDA purchased a debt security issued by
the IFC. IDA elected to measure the security at fair value, so that the measurement method could be consistently
applied to all its investments. As of June 30, 2025, the investments non-trading had a fair value of $115 million

                38
($171 million in FY24). The changes in fair value for this security are recognized in the Unrealized mark-to-
market gains (losses) on non-trading portfolios, net line in the Statements of Income. See Notes to the Financial
Statements for the year ended June 30, 2025, Note C  Investments and Note H--Transactions with Affiliated
Organizations.

                                                                   39
                      SECTION VIII: BORROWING ACTIVITIES

IDA's borrowings comprises market borrowings (carried at amortized cost or fair value) and concessional partner
loans made by certain IDA members (carried at amortized cost).

Table 19: Borrowings

In millions of U.S. dollars, except rates in percentages

                                                                           Outstanding excluding                        Interest        Weighted
                                                                           related derivatives as                      expense a       average rate

                                                                                  of June 30,

                                                                           2025          2024                          FY25    FY24    FY25         FY24

Market debt, at fair value . . . . . . . . . . . . . . . . . .             $45,154       $26,425                       $1,862  $1,282  4.27%        5.27%
Market debt, at amortized cost . . . . . . . . . . . . . .                  18,127        11,494                          274     159  2.05         1.82
Concessional partner loans . . . . . . . . . . . . . . . . .                  7,551         7,004                         142     143  1.92         2.01

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $70,832 $44,923                             $2,278 $1,584   3.46% 3.93%

a. Includes interest expenses associated with derivatives and excludes interest expenses associated with repurchase
      agreements--$14 million in FY25 (FY24$32 million).

Market Debt

As of June 30, 2025, the market borrowings recorded at fair value, excluding related derivatives were $45.1
billion, an increase of $18.7 billion compared to June 30, 2024, primarily due to net issuances of $16.9 billion
during the year.

As of June 30, 2025, market borrowings recorded at amortized cost were $18.1 billion, an increase of $6.6 billion
compared to June 30, 2024, primarily due to new issuances of $5.2 billion during the year.

Concessional Partner Loans

Concessional Partner Loans (CPLs) continue as a source of funding, whereby the borrowing terms of the
concessional loans from members aim to follow the concessional features of IDA's loans.

The maturities of the CPLs can be 25, 40 or 50 years to match the terms of IDA's loans, with a grace period on
principal repayments of 5 years for a 25-year loan and 10 years for a 40-year or a 50-year loan. Under IDA21, the
loans are subject to maximum coupon rates equivalent to 1.59% in USD terms.

Voting rights are allocated to members who provide concessional loans following the drawdowns by IDA, and
are based on the cash paid, computed as the derived grant element of the loan. The grant element, which is paid
in cash and recorded as equity, is a function of the terms of the loan and the discount rate agreed upon during the
replenishment discussions. See Table 20.

Table 20: Concessional Partner Loans Terms

Maturity                                                                                                               Grace period  SDR Discount   SDR Discount
                                                                                                                                     rates (IDA20)  rates (IDA21)
25-year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      5 years
40-year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     10 years        1.41%          3.83%
50-year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     10 years        1.79%          4.01%
                                                                                                                                          1.84%          4.02%

The concessional partner loans outstanding were $7.6 billion as of June 30, 2025, an increase of $0.6 billion from
$7.0 billion in June 30, 2024. Interest expense associated with these loans was $142 million in FY25
(FY24--$143 million).

IDA uses currency and interest rate derivatives in connection with its borrowings for asset and liability
management purposes. For more details, see Section IX: Risk Management.

                                                                                     40
Table 21: Effect of Derivatives on Currency Composition of the Borrowing Portfolio

Ratios are in percentages

                                                                                                                                 Borrowings excluding Borrowings including

As of June 30, 2025                                                                                                              derivatives                    derivatives

US Dollar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      47%                                   50%

Euro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   37%                                   38%

GBP . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    10%                                   8%

JPY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  4%                                    4%

Others . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   2%                                    --%

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  100%                                  100%

Table 22: Medium- and Long-Term Borrowings Issued by Currency During the Year, Excluding
Derivatives

Ratios are in percentages

For the period ended June 30,                                                                                                                                   2025   2024

US Dollar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         56%    54%
Euro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    42%    27%
GBP . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     --%    16%
NOK . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        2%     3%

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   100%   100%

Other Short-Term Borrowings

Under its Investment Guidelines, IDA is allowed to enter into transactions involving securities sold under
repurchase agreements and securities lent under securities lending agreements. These transactions are accounted
for as short-term borrowings. The agreements are secured predominantly by high quality collateral, including
government issued debt, and are used both to enhance returns and for liquidity management purposes.

Table 23: Short-Term Borrowings                                                                                                                                 2025   2024

In millions of U.S. dollars, except rates in percentages                                                                                                         221    599
As of June 30,                                                                                                                                                  3.87%  1.35%
Securities sold under repurchase agreements and securities lent under securities lending agreements
Average monthly balance during the year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Weighted average rate during the fiscal year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Contractual Obligations

In conducting its business, IDA takes on contractual obligations that may require future payments which are
mainly associated with IDA's borrowings. See Notes to the Financial Statements for the year ended June 30,
2025, Note E  Borrowings  Table E6. Other contractual obligations are reflected on IDA's balance sheets
including undisbursed loans, amounts payable for currency and interest rate swaps, amounts payable for
investment securities purchased, guarantees, and cash received under agency arrangements.

                           41
                                SECTION IX: RISK MANAGEMENT

Risk Governance

IDA's risk management processes and practices continually evolve to reflect changes in activities in response to
market, credit, product, operational, and other developments. The Board, particularly the Audit Committee
members, periodically review trends in IDA's risk profiles and performance, and any major developments in risk
management policies and controls.

Management believes that effective risk management is critical for IDA's overall operations. Accordingly, the
risk management governance structure is designed to manage the principal risks IDA assumes in its activities,
and supports management in its oversight function, particularly in coordinating different aspects of risk
management and in connection with risks that are common across functional areas.

IDA's risk governance structure is built on the "three lines model" where:

 Business units, with support from specialized functions, are responsible for directly managing risks in their
   respective functional areas,

 The Vice President and WBG Chief Risk Officer (CRO) provides direction, challenge, and oversight over risk
   management practices, and

 Internal Audit provides independent assurance and advice on the effectiveness of risk management.

IDA's risk management process comprises of risk identification, assessment, response, and risk monitoring and
reporting. IDA has policies and procedures under which risk owners are responsible for identifying, assessing,
responding to, monitoring, and reporting risks.

Risk Oversight and Coverage

Financial and Operational Risk Management

The CRO oversees both financial and operational risks. These risks include (i) country credit risks in the core
sovereign lending business, (ii) market and counterparty risks including liquidity and model risks, and
(iii) operational risks relating to people, processes, and systems, or from external events. In addition, the CRO
works closely with IBRD, IFC, and MIGA's management to review, measure, aggregate, and report on risks and
share best practices across the WBG. The CRO also helps enhance cooperation between the entities and
facilitates knowledge sharing in the risk management function.

The following three departments report directly to the CRO:
Credit Risk Department

 Identifies, measures, monitors, and manages country credit risk faced by IDA. By agreement with the Board,
   the individual country credit risk ratings are not shared with the Board and are not made public.

 Assesses loan portfolio risk and capital requirements, determines the adequacy of provisions for losses on
   loans and other exposures, and monitors borrowers that are vulnerable to crises in the near term. The
   department assesses the consistency of country lending programs as determined in IDA's PBA allocation
   framework with overall capital adequacy.

 Reviews proposed new financial products for any implications for country credit risk.

Market and Counterparty Risk Department

 Responsible for market, liquidity, and counterparty credit risk oversight, assessment, and reporting. It does
   these in coordination with IDA's financial managers who are responsible for the day-to-day execution of
   trades for the liquid asset and derivative portfolios, within applicable policy and guideline limits.

 Ensures effective oversight, including: i) maintaining sound credit assessments, ii) addressing transaction and
   product risk issues, iii) providing an independent review function, iv) monitoring market and counterparty risk

                                                                   42
   in the investment, borrowing and client operation portfolios, and v) model risk for financial and capital
   models. It also provides reports to the Audit Committee and the Board on the extent and nature of risks, risk
   management, and oversight.

 Responsible for validation of market data and models used for fair valuation of financial instruments.
   Undertakes model verification to ensure robust implementation of the models for products measured at fair
   value.

Operational Risk Department

 Provides direction and oversight for operational risk activities by business function.

 Key operational risk management responsibilities include: (i) administering the Operational Risk Committee
   (ORC) for IDA, (ii) implementing the operational risk management framework which is aligned with Basel
   principles and provides direction to business unit partners to ensure consistent application, (iii) assisting and
   guiding business units in identifying and prioritizing significant operational risks and enabling monitoring and
   reporting of risks through suitable metrics (or risk indicators), (iv) helping identify emerging risks and trends
   through monitoring of internal and external risk events, (v) supporting risk response and mitigating actions,
   and prepares a corporate Operational Risk Report for review and discussion by the ORC.

 Responsible for the oversight of the enterprise risk, operational risk, business continuity, operational
   resilience, corporate insurance, and data privacy functions.

The risk of IDA's operations not meeting their development outcomes (development outcome risk) in IDA's
lending activities is monitored at the corporate level by Operations Policy and Country Services (OPCS). Where
fraud and corruption risks may impact IDA-financed projects, OPCS, the regions and practice groups, and the
Integrity Vice Presidency jointly address such issues.

Risk Committees
            Figure 13: Management Risk Committee Structure for Financial and Operational Risks

Financial Risk                                       Operational Risk

            FRC                      ALCO                       ERC

Finance and Risk Committee      Asset and Liability  Enterprise Risk Committee
                            Management Committee
         Chair: MDCFO                                       Chair: MDCAO
                                  Chair: MDCFO

          NBC                                                   ORC

New Business Committee                               Operational Risk Committee

Financial Risk Committees:

The Finance and Risk Committee (FRC), a Vice President level committee, provides a high-level governance
structure for decisions that may have financial risks. The FRC is chaired by the Managing Director and WBG
Chief Financial Officer (MDCFO) and approves, clears, or discusses: (a) policy and procedure documents related
to financial integrity, income sustainability and balance sheet strength, and (b) issues and new business initiatives
with policy implications related to IDA's financial and operational risks in the areas of finance, which include
country credit, market, counterparty, liquidity, and model risks, and operational risks related to the finance
business functions. The FRC helps to integrate individual components of finance and risk management activities
by building on mechanisms and processes already in place and provides a forum for discussing and
communicating significant risk related issues. The FRC meets regularly to discuss the new products and services
and financial risk management of IDA.

                                                                   43
The New Business Committee (NBC) is a standing subcommittee of the FRC. The NBC provides advice,
guidance, and recommendations to the FRC, by performing due diligence over new financial products or services
to ensure that management has a full understanding of the rationale, costs, risks and rewards of the product or
service being considered.

Asset and Liability Management Committee (ALCO), a Vice President level committee chaired by the
MDCFO provides a high-level forum to ensure prudent balance sheet management of IDA by: a) monitoring its
financial positions and ALM activities for compliance with its respective guidelines, policies and procedures,
including borrowing and investment activities; b) identifying and providing recommendations on emerging ALM
issues for IDA, as well as those related to capital, balance-sheet planning, and financial sustainability; and c)
serving as a reviewing and recommending body for ongoing decisions as part of implementing the ALM policies
and procedures of IDA, including those that impact lending rates and net income.

Operational Risk Committees:

The Enterprise Risk Committee (ERC) is a Vice President-level committee chaired by the Managing Director
and Chief Administrative Officer (MDCAO) that oversees IDA's non-financial risks through reviewing,
discussing and/or formulating proposed policies, procedures, directives, guidance, and other matters requested by
its members. ERC's scope comprises : a) operational risk, including business continuity, corporate security,
cyber security, and IT service continuity; b) enterprise risk; c) Integrity Vice Presidency (INT) and Ethics and
Business Conduct (EBC) policies and methodologies; d) shared services; and e) any other matters brought by the
MDCAO. The ERC leverages existing risk management mechanisms that are in place to provide a corporate
view of operational and non-financial risks.

Operational Risk Committee (ORC) is the main governance committee for operational risk and provides a
mechanism for an integrated review and response across IDA units on operational risks associated with people,
processes, and systems or from external events and recognizing that business units remain responsible for
managing operational risks. The Committee's key responsibilities include monitoring significant operational risk
matters and events on a quarterly basis to ensure that appropriate risk- response measures are taken and
reviewing and concluding on IDA's overall operational risk profile. The ORC is chaired by the CROVP and
escalates significant risks and decisions to the FRC and ERC.

Other Risk Councils

The Financial Risk Council and Non-Financial Risk Council facilitate regular coordination and collaboration
across WBG entities in financial and non-financial risk functions, respectively. These councils, chaired by the
MDCFO and MDCAO, respectively, meet regularly to identify opportunities for collaboration across the risk
functions that serve to enhance the effectiveness of each of the risk functions while respecting the fiduciary
obligations of each entity and considering the different mandates, clients, products, and business models. They
also provide a common forum for the systematic exchange of information and encourage joint reporting of risks
across the entities to form an overall picture on risk and for the purposes of information sharing, identifying
interdependencies, connections, and concentrations of risk.

Management of IDA's Risks

IDA assumes financial risks in order to achieve its development and strategic objectives. IDA's financial risk
management framework is designed to enable and support the institution in achieving its goals in a financially
sustainable manner. IDA manages credit, market, and operational risks in its financial activities, which include
lending, borrowing and investing (Box 5). The primary financial risk to IDA is the country credit risk inherent in
its loan and guarantee portfolio. IDA is also exposed to risks in its liquid asset and derivative portfolios, where
the major risks are interest rate, exchange rate, commercial counterparty, and liquidity risks. IDA's operational
risk management framework is based on a structured and uniform approach to identify, assess, and monitor key
operational risks across business units.

                                                                   44
Box 5: Summary of IDA's Specific Risk Categories

Types of Financial Risk   How the risk is managed
Credit Risk
Country Credit Risk       IDA's credit-risk-bearing capacity and individual country exposure limits
Counterparty Credit Risk  Counterparty credit limits and collateral
Market Risk
Interest Rate Risk        Interest rate derivatives to match the sensitivity of assets and liabilities
Exchange Rate Risk        Currency derivatives to align the currency composition of assets and liabilities
Liquidity Risk            Prudential Minimum liquidity level
Operational Risk          Risk assessment and monitoring of key risk indicators and internal and external
                          operational risk events

Capital Adequacy

IDA uses a solvency-based capital adequacy model, which mandates that IDA hold capital for credit risk, market
risk and operational risk covering all activities and assets on its books. IDA's main measure of capital adequacy
is the Deployable Strategic Capital (DSC), which represents the capital available to support future commitments,
over and above the current portfolio. IDA is required, based on a Board- approved policy, to keep the DSC at no
lower than zero. The DSC is calculated as the amount by which Total Resources Available (TRA) exceeds Total
Resources Required (TRR) and Conservation Buffer (CB).

In June 2024, IDA implemented enhancements to the DSC, as part of the review of IDA's Capital Adequacy
Framework (CAF) to increase the efficiency of IDA's capital utilization while continuing to protect IDA's triple-
A rating and long-term financial sustainability. TRA represents IDA's available equity plus accumulated
provision for losses on loans and other exposures. It includes, as a subtraction to equity, the present value
adjustment of IDA's concessional loan portfolio based on the prevailing interest rates and development grants
approved but not yet expensed. In addition, it includes expected encashment of donor contributions in IDA's 3-
year risk horizon and excludes pension-related adjustments and other restricted assets.

The TRR is the minimum capital required to cover expected and unexpected losses in connection with all of IDA's
operations and assets. Since June 2024, TRR also includes a capital charge for: a) interest rate risk on the expected
net disbursements of concessional loans in IDA's 3-year risk horizon and b) updated capital charges for the
components of the PSW based on actual transaction data. The Conservation Buffer is calculated as 10% of TRA.

As of June 30, 2025, the DSC ratio was 30.8% (34.8% as of June 30, 2024). IDA's capital continues to be
adequate to support its operations. See Table 24. The decrease was mainly due to a larger percentage increase in
TRR compared to the percentage increase in TRA. The increase in TRR was primarily due to higher capital
requirements for the increase in total exposure during the year. The increase in TRA was primarily due to the
increase in equity, mainly reflecting the subscriptions and contributions received from members during the year.

Table 24: Deployable Strategic Capital Ratio

In billions of U.S. dollars except ratios in percentages

As of                                                         Jun-25 Jun-24                                                             Change

Total Resources Available (TRA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $165.5     $149.5    $16.0
Total Resources Required (TRR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97.9           82.5    15.4
Conservation Buffer (CB) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16.6     15.0      1.6

Deployable Strategic Capital (DSC = TRA-TRR-CB) . . . . . . . . . . . . . . . . . . . . . . . . . . $ 51.0 $ 52.0                        $ (1.0)

Deployable Strategic Capital as a percentage of TRA . . . . . . . . . . . . . . . . . . . . . . . . 30.8% 34.8%                            (4.0)%

                                                          45
Asset/Liability Management

Since FY22, IDA's interim ALM policy allows, under specific criteria, funding fixed rate loans with long- term
fixed rate market debt and CPLs (both reported at amortized cost), as part of IDA's interest rate risk management
to align the interest rate and maturities of the debt with those of the loan portfolio. For more details, see Notes to
the Financial Statements for the year ended June 30, 2025, Note E--Borrowings.

Capital Value Protection Program (CVP)

As part of IDA's ALM policies, IDA executed pay fixed, receive floating forward-starting swaps with a current
notional of $15.4 billion under a Board-approved Capital Value Protection Program. The objective of the
program is to partially reduce the sensitivity of IDA's capital adequacy model to changes in long- term interest
rates and allow for more resources to be available for lending under the capital adequacy framework.

Changes in the values of these forward-starting swaps partially offset changes in the present value of loans,
thereby reducing the sensitivity of IDA's capital adequacy to long-term interest rate movements and providing
greater stability in IDA's long-term financing to clients. These swaps are included in the ALM portfolio. For
more details, see Notes to the Financial Statements for the year ended June 30, 2025, Note F--Derivative
Instruments.

Asset Coverage Principles

In addition to the DSC framework, IDA has policies in place to ensure alignment of its lending and borrowing
activities. Specifically, the Board approved the following asset coverage principles:

 Management monitors the level of assets available to satisfy all of IDA's borrowings and adjusts future
   lending and grant commitments should the level of asset coverage fall below the level expected for a triple-A
   rated entity.

 Management monitors IDA's liquidity to ensure its ability to satisfy its borrowing and commitment obligations
   even under stressed conditions taking into account the level expected for a triple-A rated entity without
   callable capital.

 If IDA's access to the capital markets or alternative sources of cash funding is impaired, then no additional
   loan or grant commitments will be approved until access to cash funding has resumed or all market debt is
   repaid.

Credit Risk

IDA faces two types of credit risk: country credit risk and counterparty credit risk. Country credit risk is the risk
of loss due to a country not meeting its contractual obligations, and counterparty credit risk is the risk of loss
attributable to a counterparty not honoring its contractual obligations. IDA is exposed to commercial as well as
noncommercial counterparty credit risk.

Country Credit Risk

IDA's lending management framework encompasses the long-standing PBA mechanism and allocation
framework agreed at each replenishment, complemented by additional considerations required when accessing
debt markets to ensure adherence to risk management (capital adequacy) requirements.

While the PBA framework was not originally intended as a credit quality metric, it incorporates factors related to
country credit risk. The PBA determines the volume of concessional IDA resources allocated to each country,
based on performance in implementing policies that promote economic growth and poverty reduction, as
assessed under the Country Policy and Institutional Assessment (CPIA). The CPIA includes economic
management criteria, such as fiscal policy and debt policy and management.

                                                                   46
In addition to these considerations in the PBA, IDA regularly assesses the country credit risk of all its borrowers.
IDA produces credit risk ratings for all its borrowing countries, which reflect country economic, financial, and
political circumstances, and also considers environmental, social and governance (ESG) risk factors. Based on
these risk ratings, to manage overall portfolio risk, the allocation outcomes of the PBA and other mechanisms are
reviewed to ensure that they are compatible with the Deployable Strategic Capital Framework and Single
Borrower Limit.

Single Borrower Limit

Portfolio concentration risk, which arises when a small group of borrowing countries account for a large share of
loans outstanding, is a key consideration for IDA. Concentration risk is managed through the SBL, which caps
exposure to any single borrowing country at 25 percent of equity, in line with the Basel- based maximum
exposure limit.

For FY26, the SBL has been set at $51.0 billion (25% of $204.2 billion of total equity as of June 30, 2025), a
marginal increase compared to FY25 ($47.5 billion). Currently, the maximum country exposure levels
compatible with IDA's overall capital adequacy target are lower than the SBL for all IDA borrowing countries.
As a consequence, the SBL is currently not a constraining factor.

As of June 30, 2025, the ten countries with the highest exposures accounted for 61% of IDA's total exposure
(Figure 14). Monitoring these exposures relative to the SBL, requires consideration of the repayment profiles of
existing loans, as well as disbursement profiles and projected new loans and guarantees.

                                    Figure 14: Country Exposures as of June 30, 2025

                                                             In billions of U.S. dollars

                                                   Top Ten Country Exposures

 Bangladesh                                                                      22.6
     Pakistan                                                  19.3
       Nigeria                                            18.2
          India
      Ethiopia                                      14.2
    Tanzania                                       14.0
        Kenya                                    13.7
    Viet Nam                                 13.0
        Ghana                          11.6

Cote d'Ivoire                  7.2
                          6.2

                 0  2  4  6         8  10 12 14 16 18 20 22 24

Debt Relief

IDA has participated in two comprehensive debt relief initiatives, HIPC and MDRI, adopted by the global
development community to reduce the debt burdens of developing countries. In each case, IDA agreed to provide
debt relief in return for future compensation from members for forgone reflows, ensuring that IDA's financial
capacity would not be reduced. For a borrower to be eligible for debt relief on its loans with IDA, it is required to
maintain macroeconomic stability, carry out key structural and social reforms, and maintain all loans in accrual
status.

                                       47
Expected Losses, Overdue Payments and Non-Performing Loans

When a borrower fails to make payments on any principal, interest, or other charges due to IDA, IDA may
suspend disbursements immediately on all loans and grants to that borrower. IDA's current practice is to exercise
this option using a gradual approach (Box 6). These practices also apply to member countries eligible to borrow
from both IDA and IBRD, and whose payments on IBRD loans may become overdue. It is IDA's practice not to
reschedule service charges, interest or principal payments on its loans or participate in debt rescheduling
agreements with respect to its loans. As of June 30, 2025, none of the IDA borrowing countries in the accrual
portfolio had overdue payments beyond three months.

On May 12, 2025, the Syrian Arab Republic, with the assistance of 2 member countries, cleared all of its overdue
principal and charges due to IDA.

Box 6: Treatment of Overdue Payments

Overdue by 30 days  Where the borrower is the member country, no new loans, or grants to the member country, or
Overdue by 45 days  to any other borrower in the country, will be presented to the Board for approval nor will any
Overdue by 60 days  previously approved loans or grants be signed, until payments for all amounts 30 days overdue
                    or longer have been received. Where the borrower is not the member country, no new loans or
 Overdue by more    grants to that borrower will be signed or approved.
  than six months
                    In addition to the provisions cited above for payments overdue by 30 days, to avoid proceeding
                    further on the notification process leading to suspension of disbursements, the country as
                    borrower or guarantor and all borrowers in the country must pay not only all payments overdue
                    by 30 days or more, but also all payments due regardless of the number of days since they have
                    fallen due. Where the borrower is not the member country, no new loans, or grants to, or
                    guaranteed by, the member country, will be signed or approved.

                    In addition to the suspension of approval for new loans or grants and signing of previously
                    approved loans or grants, disbursements on all grants or loans to or guaranteed by the member
                    country are suspended until all overdue amounts are paid. This policy applies even when the
                    borrower is not the member country. Under exceptional circumstances, disbursements can be
                    made to a member country upon the Board's approval.

                    In addition to the suspension of disbursements on all loans to, or guaranteed by, the member
                    country, all loans made to or guaranteed by a member or to the territory of a member of IDA
                    are placed in nonaccrual status, unless IDA determines that the overdue amount will be
                    collected in the immediate future. Unpaid service charges and other charges not yet paid on
                    loans outstanding are deducted from loan revenue in the current period. To the extent that these
                    payments are received, they are included in loan revenue. At the time of arrears clearance, if
                    collectability risk is considered to be particularly high, the member's exposures may not
                    automatically emerge from nonaccrual status. In such instances, a decision is made on the
                    restoration of accrual status on a case-by-case basis and in certain cases, this decision may be
                    deferred until after a suitable period of payment or policy performance has passed.

As an exception to the practices set forth in Box 6, IDA has provided financing to countries with overdue
payments, in very specific situations:

 IDA has provided grants from its Crisis Response Window to third party agencies for use in Federal Republic
   of Somalia and Zimbabwe in response to major crises, during FY17 and FY19 respectively, and;

 IDA has financed a few regional projects, for the benefit of countries with overdue payments to IDA, through
   its Regional Program Window.

                                      48
In the past, on an exceptional basis, IDA financed through concessional loans and grants the following regional
projects, where participation of a country with overdue payments was crucial to the success of the regional
project.

 In April 2017, the Kenya Displacement project ($103 million) through Intergovernmental Authority on
   Development (IGAD) that included financing for Federal Republic of Somalia, a country with overdue
   payments at the time.

 In December 2014, Kariba Dam Rehabilitation Project ($75 million) that included benefits for Zimbabwe, a
   country with overdue payments.

 In September 2003, West Africa HIV/AIDS project for the Abidjan-Lagos Transport Corridor ($17 million)
   that included benefits for Togo, a country with overdue payments at that time.

In the above cases, financing was not made directly to the country with overdue payments. Implementation
arrangements were such that a regional bank or another participating country took on the obligation of the
regional project on behalf of the country with overdue payments to IDA.

In addition, IDA may engage with countries with overdue payments when a very narrow and well-defined set of
criteria are met, including a clear path to arrears clearance. For more details on exceptional financing, see Section
III:IDA's Financial Resources.

Accumulated Provision for Losses on Loans and other Exposures

The total exposure for provisioning is the current exposure and the estimated exposure taking into account
expected disbursements and repayments over the life of the instruments. The expected credit losses related to
loans and other exposures are calculated over the life of the instruments based on the expected exposures, the
expected default frequency (probability of default to IDA) and the estimated loss given default. The provision for
expected losses is the sum of the expected annual losses over the life of the instruments. A key determinant in the
provision for losses on loans and other exposures is IDA's borrowing country credit risk ratings. These ratings
are IDA's own assessment of borrowers' ability and willingness to repay IDA on time and in full.

As of June 30, 2025, IDA had $227.9 billion of loans outstanding, of which loans in nonaccrual status
represented 0.4%. IDA's accumulated provision for losses on loans and other exposures was $6.2 billion, which
represented a provisioning rate of 2.0% of the underlying exposures ($5.6 billion as of June 30, 2024, 2.0% of the
underlying exposures). For a summary of countries with loans or guarantees in nonaccrual status as of June 30,
2025, see Notes to the Financial Statements for the year ended June 30, 2025, Note D  Loans and Other
Exposures.

Commercial Counterparty Credit Risk

Commercial counterparty credit risk is the risk that counterparties fail to meet their payment obligations under
the terms of the contract or other financial instruments. Effective management of counterparty credit risk is vital
to the success of IDA's funding, investment, and asset/liability management activities. The monitoring and
management of these risks is continuous as the market environment evolves.

IDA mitigates the counterparty credit risk from its investment and derivative holdings through the credit
approval process, the use of collateral agreements and risk limits, and other monitoring procedures. The credit
approval process involves evaluating counterparty and product specific creditworthiness, assigning internal credit
ratings and limits, and determining the risk profile of specific transactions. Credit limits are set and monitored
throughout the year. Counterparty exposure is updated daily, taking into account current market values of assets
held, estimates of potential future movements of exposure for derivative instruments, and related counterparty
collateral agreements. Collateral posting requirements are based on thresholds driven by public credit ratings.
Collateral held includes cash and highly rated liquid investment securities. Commercial credit risk management
includes ESG related assessments in the approval and monitoring of higher exposure counterparts for the liquid
asset portfolio and for derivative counterparties.

                                                                   49
IDA's liquid asset portfolio consists mostly of sovereign government bonds, debt instruments issued by
sovereign government agencies, corporates and time deposits with banks.
Derivative Instruments
In the normal course of its business, IDA enters into various derivative instruments to manage foreign exchange
and interest rate risks. These instruments are also used to help borrowers to manage their financial risks.
Derivative transactions are conducted with other financial institutions and, by their nature, entail commercial
counterparty credit risk.
While the volume of derivative activity can be measured by the contracted notional value of derivatives, notional
value is not an accurate measure of credit or market risk. IDA uses the estimated replacement cost of the
derivative instruments, or potential future exposure (PFE), to measure credit risk with counterparties.
Under IDA's mark-to-market collateral arrangements, IDA receives collateral when mark-to-market exposure is
greater than the ratings-based collateral threshold. As of June 30, 2025, IDA received $1,266 million of cash
collateral for its derivative transactions ($893 million--June 30, 2024).
IDA is not required to post collateral under its derivative agreements as long as it maintains a triple-A credit
rating. (For the contractual value, notional amounts, related credit risk exposure amounts, and the amount IDA
would be required to post in the event of a downgrade, see Notes to the Financial Statements for the year ended
June 30, 2025, Note FDerivative Instruments).
Investment Securities
IDA's Board-approved General Investment Authorization provides the basic authority for IDA to invest its liquid
assets. Furthermore, all investment activities are conducted in accordance with a more detailed set of Investment
Guidelines set by management. The Investment Guidelines are approved by the MDCFO and implemented by the
Treasurer. The Guidelines include a consultative loss limit to reflect a level of tolerance for the risk of
underperforming the benchmark in any fiscal year and a duration deviation metric. Clear lines of responsibility
for risk monitoring and compliance are highlighted in the Guidelines. Credit risk appetite is conveyed through
specific eligibility criteria (Box 7). IDA has procedures in place to monitor performance against this limit and
potential risks, and it takes appropriate actions if the limit is reached. All investments are subject to additional
conditions specified by the market and counterparty risk department, as deemed necessary.

                                                                   50
Box 7: Eligibility Criteria for IDA's Investments

Eligible Investments a           Description

Sovereigns                       IDA may only invest in obligations issued or unconditionally
                                 guaranteed by governments of member countries with a minimum credit
                                 rating of AA-. However, no rating is required if government obligations
                                 are denominated in the national currency of the issuer.

Agencies                         IDA may invest only in obligations issued by an agency or
                                 instrumentality of a government of a member country, a multilateral
                                 organization, or any other official entity other than the government of a
                                 member country, with a minimum credit rating of AA-.

Corporates and asset-backed      IDA may only invest in securities with a triple-A credit rating.
securities

Time deposits b                  IDA may only invest in time deposits issued or guaranteed by financial
                                 institutions, whose senior debt securities are rated at least A-.

Commercial paper                 IDA may only invest in short-term borrowings (less than 190 days)
                                 from commercial banks, corporates, and financial institutions with at
                                 least two Prime-1 ratings.

Securities lending, and          IDA may engage in securities lending, against adequate collateral
borrowing, resales, and reverse  repurchases and reverse repurchases, against adequate margin
repurchases                      protection, of the securities described under the repurchases sovereigns,
                                 agencies, and corporates and asset-backed security categories.

Collateral assets                IDA may engage in collateralized forward transactions, such as swap,
                                 repurchase, resale, securities lending, or equivalent transactions that
                                 involve certain underlying assets not independently eligible for
                                 investment. In each case, adequate margin protection needs to be
                                 received.

a. All investments are subject to approval by the Market and Counterparty Risk department and must appear on the
      "Approved List" created by the department.

b. Time deposits include certificates of deposit, bankers' acceptances and other obligations issued or unconditionally
      guaranteed by banks or other financial institutions.

The credit quality of IDA's investment portfolio remains in the upper end of the credit spectrum with 78% of the
portfolio rated AA or above as of June 30, 2025, reflecting IDA's continued preference for highly- rated
securities and counterparties across all categories of financial instruments.

Commercial Counterparty Credit Risk Exposure

As a result of IDA's use of mark-to-market collateral arrangements for swap transactions, its residual commercial
counterparty credit risk exposure is concentrated in the investment portfolio, in instruments issued by sovereign
governments and non-sovereign holdings (including Agencies, Asset-backed securities, Corporates, and Time
Deposits). Total commercial counterparty credit exposure, net of collateral held, was $47.8 billion as of June 30,
2025. (Table 25).

                                                   51
Table 25: Commercial Credit Exposure, Net of Collateral Held, by Counterparty Rating

In millions of U.S. dollars, except rates in percentages

Counterparty Rating a                                          Sovereigns                       As of June 30, 2025  Total Exposure  % of Total
                                                                           Non-Sovereigns Net Swap Exposure
AAA . . . . . . . . . . . . . . . . . . . . . . . . . . .       $ 8,327                                                  $12,338          26%
AA . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       7,507   $ 4,011    $--                                 24,712          52
A ..............................                                   3,643    17,006     199                                10,490          22
BBB or lower/unrated . . . . . . . . . . . . . .                       89     6,556    291                                                  *
                                                                                         --                                   264
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . .   $19,566         175                                                      100%
                                                                                                                         $47,804
                                                                           $27,748    $490

Counterparty Rating a                                                                                As of June 30, 2024
                                                               Sovereigns Non-Sovereigns Net Swap Exposure Total Exposure % of Total

AAA . . . . . . . . . . . . . . . . . . . . . . . . . . .      $ 6,815     $ 2,774    $--                            $ 9,589         28%
AA . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      7,411       9,528    160
A ..............................                                  3,200       4,622    291                           17,099          49
BBB . . . . . . . . . . . . . . . . . . . . . . . . . . . .          --            7     --
                                                                                                                     8,113           23

                                                                                                                     7               *

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . $17,426      $16,931    $451                           $34,808         100%

a. Average rating is calculated using available ratings from the three major rating agencies; however, if ratings are not
      available from each of the three rating agencies, IDA uses the average of the ratings available from any of such rating
      agencies or a single rating to the extent that an instrument or issuer (as applicable) is rated by only one rating agency.

For the contractual value, notional amounts and related credit risk exposure amounts by instrument, see Notes to
the Financial Statements for the year ended June 30, 2025, Note F--Derivative Instruments.

Credit and Debit Valuation Adjustments

Most outstanding derivative positions are transacted over-the-counter and therefore valued using internally
developed valuation models. For commercial and non-commercial counterparties where IDA has a net exposure
(net receivable position), IDA calculates a Credit Valuation Adjustment (CVA) to reflect credit risk. For net
derivative positions with commercial and non-commercial counterparties where IDA is in a net payable position,
IDA calculates a Debit Valuation Adjustment (DVA) to reflect its own credit risk.

The CVA is calculated using future projected exposures of the derivative contracts, net of collateral received
under credit support agreements, and the probability of counterparty default based on the Credit Default Swaps
(CDS) spread and, where applicable, proxy CDS spreads. IDA does not currently hedge this exposure. The DVA
calculation is generally consistent with the CVA methodology and incorporates IDA's own credit spread as
observed through the CDS market. As of June 30, 2025, IDA recorded a CVA on its balance sheet of $108
million, and a DVA of $14 million.

Changes in Credit Spreads

 Borrowings: IDA's own credit risk reflects the cost of funding relative to applicable reference rates. Changes
   in IDA's credit spreads result in unrealized mark-to-market gains/losses, recorded as Net Change in DVA on
   Fair Value Option elected liabilities in the Statements of Comprehensive Income.

 Loans: IDA's fair value model mainly represents a hypothetical MDB market exit price of the loans
   outstanding. It incorporates CDS spreads as an indicator of the credit risk for each borrower, after adjusting
   recovery levels to incorporate IDA's institutional experience and assumptions. These assumptions are
   reviewed annually. IDA does not hedge its sovereign credit exposure, but Management assesses its credit risk
   through a loan- loss provisioning framework. The loan loss provision represents the expected losses inherent in
   its accrual and nonaccrual portfolios. IDA's country credit risk is managed by using individual country
   exposure limits and by monitoring its credit-risk-bearing capacity.

                                                                           52
 Investments: IDA purchases investment-grade securities for its liquid asset portfolio. Credit risk is controlled
   through appropriate eligibility criteria (Box 7). The overall risk of the investment portfolio is also constrained
   by a consultative loss limit. In line with these risk management strategies, the potential effect of default risk on
   IDA's investments is therefore small.

 Derivatives: IDA uses derivatives to manage exposures to currency and interest rate risks in its borrowing,
   loan, and investment portfolios. It is therefore exposed to commercial counterparty credit risk on these
   instruments. This risk is managed through:

       Stringent selection of commercial derivative counterparties,

       Daily marking-to-market of derivative positions, and

       Use of collateral and collateral thresholds for all commercial counterparties.

The sensitivity of IDA's portfolios to changes in credit spreads is shown in Table 26, where the amount
represents the dollar change in fair value which corresponds to a one basis point parallel upward shift in credit
spreads.

Table 26: Effect of Credit on IDA's Portfolios

In millions of U.S. dollars

As of June 30, 2025                                                                                                                                      Credit Effect on Portfolio
                                                                                                                                                                 Sensitivity a

Borrowings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     $ 15
Loans b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   (15)
Investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         (1)

Total losses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     $ (1)

a. Excludes CVA and DVA on derivatives
b. If loans were measured at fair value

Market Risk

IDA is exposed to changes in interest and exchange rates and uses derivatives to manage its exposure to market
risks. Derivatives are used to align the interest and currency composition of its assets (loan and investment
trading portfolios) with that of its liabilities (borrowing portfolio) and equity, with the exception of the long-term
fixed rate market debt that is used to fund fixed rate loans. Figure 15 below illustrates the use of derivatives for
market borrowing portfolios. The loan, investment and borrowing portfolios are largely maintained in SDR and
its component currencies.

                     Figure 15: Use of Derivatives for Market Borrowings at Fair Value

                             Market Debt                          After Derivatives

                                           Multiple  Currency     In component
                                         Currencies   Swaps       currencies of

                                                                       SDR

                               In multiple              Interest  Reference
                              interest rate          Rate Swaps   rate-based
                             bases or fixed                       floating rate
                              coupon rate

                                                     53
Interest Rate Risk

IDA is exposed to interest rate risk due to mismatches between its assets (loan and investment portfolios) and its
liabilities (borrowing portfolio) both in terms of maturity and instrument type. Given IDA's lengthy
disbursement profile, the weighted average maturity of IDA's loans is relatively long (12 years). This long
maturity, combined with volatility in market interest rates, results in significant year-on-year variability in the
fair value of loans. However, since the loan portfolio is not reported at fair value under U.S. GAAP, the impact of
this variability on IDA's Balance Sheets is not fully evident. IDA's investment-trading portfolio (liquid asset
portfolio) has a relatively low sensitivity to interest rates with a duration of 5 months as of June 30, 2025.

 Loan and Borrowing Portfolios: In line with IDA's financial risk management strategies, the sensitivity of
   IDA's loan and borrowing portfolios to changes in interest rates is managed through derivatives, or through the
   use of borrowings which match the fixed rate basis of the loan portfolio and which are reported at amortized
   cost. As noted earlier, IDA intends to maintain its positions for these portfolios and thus manages these
   instruments on a cash flow basis. The resulting net unrealized mark-to-market gains and losses on these
   portfolios, associated with the sensitivity to interest rates, are therefore not expected to be realized.

 Other ALM (including CVP): Other ALM primarily includes the CVP which consists of $15.4 billion current
   notional, forward starting fixed pay swaps. These swaps hedge against rising future interest rates given IDA's
   fixed rate concessional loan portfolio. CVP is classified as a non-trading portfolio recorded at fair value.
   Changes in the values of these derivatives would partially offset changes in the value of the loans if the loans
   were recorded at fair value.

 Investments: After the effects of derivatives, the average effective duration of the investments is approximately
   5 months for FY25. As a result, the portfolio has a low sensitivity to changes in interest rates.

The sensitivity of these portfolios to interest rate movements, after the effect of derivatives, is shown in Table 27
below where the amount represents the dollar change in fair value corresponding to a one basis point parallel
upward shift in interest rates as of June 30, 2025.

Under its integrated financial model, IDA employs the following strategies to manage interest rate risk:

 The capital adequacy policies factor in the sensitivity to interest rates.

 Matching interest rates between assets and related funding to minimize open interest rate positions.

 The funding risk related to the mismatch between the maturity profile of the debt funding and the related assets
   is monitored through duration measurements and adjustments to capital requirements to cover this risk.

Table 27: Effect of Interest Rates on IDA's Portfolios
In millions of U.S. dollars

As of June 30, 2025                                                                                                                                   Net Interest Rate Effect on
                                                                                                                                                         Portfolio Sensitivity
Market borrowings at fair value, including derivatives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Other borrowings, at amortized cost a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                             $1
Loan portfolio a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    26
Other ALM b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Investment Portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      (116)
                                                                                                                                                                        9
Total losses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   (2)

                                                                                                                                                                  $ (82)

a. If instruments were measured at fair value
b. Amount mainly reflects interest rate effect on the CVP.

Figure 16 depicts how the use of derivatives, or other offsetting positions, affects the overall sensitivity of the
borrowing, loan, other ALM, and investment portfolios. It indicates the extent to which each portfolio is

                                                        54
economically hedged. For example, for the borrowing portfolio, a one basis point increase in interest rates would
result in $15 million of unrealized mark-to- market gains on bonds, which would be offset by $14 million of
unrealized mark-to-market losses on swaps. Loan and Other borrowings sensitivities are illustrative, as they are
carried at amortized cost on the Balance Sheets.

                                  Figure 16: Sensitivity to Interest Rates

      (Dollar change in fair value corresponding to a one-basis-point upward parallel shift in interest rates)
                                                    In millions of U.S. dollars

                                        As of June 30, 2025

      Market Borrowings           Loan Portfolio              Other ALM         Investment Portfolio
          at Fair Value
                                     Loans Other Borrowings/             Swaps   Investments Swaps
      Swaps Bonds                                                            9
                                              Swaps                                         -2 *

FY25  -14                     15  -117  26 1

FY24  -7 9                        -107  20 *                  8                 -2 *

      -20 -10 0 10 20 -120 -60 0 60 120 -20 -10 0 10 20 -5 -3                   0                               3  5

* Sensitivities are marginal

Exchange Rate Risk

IDA faces foreign exchange rate risk exposure as a result of the currency mismatch between its commitments for
loans and grants, which are mainly denominated in SDRs; equity contributions from members, which are
typically denominated in national currencies; and the portion of IDA's internal resources and expenditures that
are denominated in U.S. dollars.

Changes in exchange rates affect the capital adequacy of IDA when the currency of the equity supporting the
loan portfolio and other assets is different from that of the risk exposure. Accordingly, the primary objective of
IDA's currency risk management is to protect IDA's financial capacity from exchange rate movements, as
measured by the capital adequacy framework. To achieve this, IDA's balance sheets are managed in multiple
currencies: SDR and the currencies comprising the SDR basket. The exchange rate risk management
methodology includes the hedging of: (i) currency risk arising from settlement of loan disbursements, loan
repayments and donor contributions; (ii) debt funding; (iii) IDA loans; (iv) donor contributions; and
(v) administrative budget.

The reported levels of its assets, liabilities, income, and expenses in the financial statements are affected by
exchange rate movements in all the currencies in which IDA transacts, relative to its reporting currency, the U.S.
dollar. These movements are shown as currency translation adjustments. Translation adjustments relating to the
revaluation of assets and liabilities denominated in SDR and SDR component currencies, (IDA's functional
currencies), are reflected in Accumulated Other Comprehensive Loss, in equity. Translation adjustments relating
to non-functional currencies are reported in IDA's Statements of Income (see Notes to the Financial Statements
for the year ended June 30, 2025, Note A  Summary of Significant Accounting and Related Policies).

IDA uses currency forward contracts to convert future inflows from members' receivables provided in national
currencies into the five currencies of the SDR basket, thereby aligning the currency composition of member
contributions with the net cash outflows relating to loans and grants, which are primarily denominated in SDR.

The payable leg of the currency forward contracts economically hedging member equity contribution pledges is
denominated in non-functional currencies. IDA pays the market counterparty in a non-SDR currency.
Accordingly, depreciation or appreciation of the non-SDR currencies against the U.S. dollar results in exchange
rate gains or losses, which are reported in the Statements of Income. The translation adjustment on future inflows

                                              55
from members, even though they are not recorded in the balance sheets, is the economic offset to the translation
adjustment on nonfunctional currencies of currency forward contracts.

Liquidity Risk

Liquidity risk arises in the general funding of IDA's activities and in managing its financial position. It includes
the risk of IDA being unable to fund its portfolio of assets at appropriate maturities and rates, and the risk of
being unable to liquidate a position in a timely manner at a reasonable price.

IDA's aggregate liquid asset holdings are kept above a specified prudential minimum to safeguard against cash
flow interruptions. The Prudential Minimum is equal to 80% of 24 months of projected net outflows. For FY25,
the prudential minimum was $29.5 billion. For FY26, the prudential minimum has been set at $37.0 billion. As of
June 30, 2025, IDA's liquid assets were $45.7 billion, 155% of the FY25 prudential minimum.

IDA will hold liquidity above the prudential minimum to ensure sufficient liquidity under a wide range of shock
scenarios as well as to give it flexibility in timing its borrowing transactions and to meet working capital needs.

Operational Risk

Operational risk is defined as the risk of financial loss, or damage to IDA's reputation resulting from inadequate
or failed internal processes, people, and systems, or from external events.

IDA recognizes the importance of operational risk management activities, which are embedded in its financial
operations. As part of its business activities, IDA is exposed to a range of operational risks including physical
security, staff health and safety, information security and data privacy, business continuity, and third party risks.
IDA's approach to identifying and managing operational risk includes a dedicated program for these risks and a
robust process that includes identifying, assessing, and prioritizing operational risks, monitoring, and reporting
relevant key risk indicators, aggregating and analyzing internal and external events, and identifying emerging
risks that may affect business units and developing risk response and mitigating actions.

Cybersecurity Risk Management

IDA's operations rely on the secure processing, storage, and transmission of confidential and other information
in computer systems and networks. Like other financial institutions, cybersecurity risk continues to be significant
for IDA due to the evolving sophistication and complexity of the cyber threat landscape. These risks are
unavoidable, and IDA seeks to manage them on a cost-effective basis consistent with its risk appetite.

To protect the security of its computer systems, software, networks and other technology assets, IDA has
developed its cybersecurity risk management program, aligned with its's Operational Risk Management
Framework. This program consists of cybersecurity policies, procedures, compliance, and awareness programs.
A multi-layered approach for cybersecurity risk management is employed to prevent and detect malicious
activity, both from within the organization and from external sources. In response to emerging cyber threats such
as malware including ransomware, denial of service, phishing attacks and artificial intelligence related risks, IDA
adapts its technical and process-level controls and enhances user awareness to mitigate the risk. When relying on
third-party vendors for technology-enabled services, additional meaningful and diligent measures are applied to
gain assurance regarding the security of its information and technology assets including, as appropriate, legal and
cybersecurity contractual safeguards in third-party vendor agreements and review and monitoring of third-party
control environments.

IDA periodically assesses the maturity and effectiveness of its cyber defenses through risk mitigation techniques,
including but not limited to, targeted testing, internal and external audits, incident response desktop exercises and
industry benchmarking.

                                                                   56
SECTION X: CRITICAL ACCOUNTING POLICIES AND THE USE OF ESTIMATES

IDA's significant accounting policies, as well as estimates made by management, are integral to its financial
reporting. While all of these policies require a certain level of judgment and estimates, significant policies
require management to make highly difficult, complex, and subjective judgments as these relate to matters
inherently uncertain and susceptible to change. Note A to the financial statements contains a summary of IDA's
significant accounting policies including a discussion of recently issued accounting pronouncements.

Fair Value of Financial Instruments

All fair value adjustments are recognized through the Statements of Income, except for changes in the fair value
of debt related to IDA's own credit, which are reported in Other Comprehensive Income. The fair values of
financial instruments are based on a three-level hierarchy.

For financial instruments classified as Level 1 or 2, less judgment is applied in arriving at fair value measures as
the inputs are based on observable market data. For financial instruments classified as Level 3, unobservable
inputs are used. These require management to make important assumptions and judgments in determining fair
value measures.

Derivative contracts generally include currency forward contracts, to-be-announced (TBA) securities, swaptions,
exchange traded options and futures contracts, currency swaps, and interest rate swaps. Plain vanilla swaps and
structured swaps are valued using the standard discounted cash flow methods using observable market inputs
such as yield curves, foreign exchange rates and basis spreads.

In instances where management relies on instrument valuations supplied by external pricing vendors, there are
procedures in place to validate the appropriateness of the models used as well as the inputs applied in
determining those values.

IDA's financial instruments recorded at fair value are classified as either Level 1 or Level 2 as of June 30, 2025,
as the inputs are based on observable market data and less judgment is applied in arriving at fair value measures.

On a quarterly basis, the methodology, inputs, and assumptions are reviewed to assess the appropriateness of the
fair value hierarchy classification of each financial instrument. All the financial models used for input to IDA's
financial statements are subject to both internal and periodic external verification and review by qualified
personnel.

Provision for Losses on Loans and Other Exposures

IDA's accumulated provision for losses on loans and other exposures reflects the expected losses inherent in its
nonaccrual and accrual portfolios after taking into consideration the expected relief under the HIPC Debt
Initiative and MDRI and any provision for losses on the buy-down of loans.

Adjustments to the accumulated provision are recorded as a charge to or a release of provision in the Statements
of Income. Actual losses may differ from expected losses due to unforeseen changes in any of the factors that
affect borrowers' creditworthiness.

The Credit Risk Committee monitors aspects of country credit risk, in particular, reviewing the provision for
losses on loans and guarantees taking into account, among other factors, any changes in exposure, risk ratings of
borrowing member countries, or movements between the accrual and nonaccrual portfolios.

Additional information on IDA's provisioning policy and the status of nonaccrual loans can be found in the
Notes to Financial Statements for the year ended June 30, 2025, Note A--Summary of Significant Accounting
and Related Policies and Note D--Loans and Other Exposures.

                                                                   57
SECTION XI: GOVERNANCE AND INTERNAL CONTROLS

Business Conduct

The WBG promotes a positive work environment in which staff members understand their ethical obligations to
the institution. In support of this commitment, the institution has a Code of Conduct in place. The WBG has both
an Ethics Helpline and a Fraud and Corruption hotline. A third-party service offers many methods of worldwide
communication. Reporting channels include telephone, mail, email, or confidential submission through a
website.

IDA has in place procedures for receiving, retaining, and handling recommendations and concerns relating to
business conduct identified during the accounting, internal control, and auditing processes.

WBG staff rules clarify and codify the staff's obligations in reporting suspected fraud, corruption, or other
misconduct that may threaten the operations or governance of the WBG. These rules also offer protection from
retaliation.

General Governance

                    Figure 17: Governance Structure

                    Board of Governors

 Audit Committee    Executive                                Committee on
                    Directors                        Development Effectiveness
Budget Committee
                    President                        Committee on Governance
Human Resources                                        and Executive Directors'
     Committee                                          Administrative Matters

IDA's decision-making structure consists of the Board of Governors, the Executive Directors (the Board), the
President, management, and staff. The Board of Governors is the highest decision-making authority. Governors
are appointed by their member governments for a five-year term, which is renewable. The Board of Governors
may delegate authority to the Executive Directors (referred to as the Board in this document) to exercise any of
its powers, except for certain powers enumerated in IDA's Articles. IDA has its own policies and frameworks
that are carried out by staff that share responsibilities for both IDA and IBRD.

In addition, IBRD and IDA have joint internal institutional oversight units which play an assurance role to
shareholders and management that IDA's work is impactful and accountable, informed by best practices, and
delivered to the highest ethical standards with risk management controls and governance processes that are
functioning effectively.

Executive Directors

In accordance with the Articles, Executive Directors are appointed or elected every two years by their member
governments. The Board currently has 25 Executive Directors who represent all 175 member countries.
Executive Directors are neither officers nor staff of IDA. The President is the only member of the Board from
management, and he serves as a non-voting member and as Chairman of the Board.

                    58
The Board is required to consider proposals made by the President on IDA loans, grants, and guarantees and on
other policies that affect its general operations. The Board is also responsible for presenting to the Board of
Governors, at the Annual Meetings, audited accounts, an administrative budget, and an annual report on
operations and policies and other matters.
The Board and its committees are in continuous sessions based in Washington DC, as business requires. Each
committee's terms of reference establish its respective roles and responsibilities. As committees do not vote on
issues, their role is primarily to serve the Board in discharging its responsibilities.
The committees are made up of eight members and function under their respective terms of reference. These
committees are as follows:
 Audit Committee--assists the Boards in overseeing IDA's finances, accounting, risk management and internal

   controls (See further explanation below).
 Budget Committee--assists the Boards in approving the World Bank's budget and in overseeing the

   preparation and execution of IDA's business plans. The committee provides guidance to management on
   strategic directions of IDA.
 Committee on Development Effectiveness--supports the Boards in assessing IDA's development
   effectiveness, providing guidance on strategic directions of IDA, monitoring the quality and results of
   operations.
 Committee on Governance and Executive Directors' Administrative Matters--assists the Boards in issues
   related to the governance of IDA, the Boards' own effectiveness, and the administrative policy applicable to
   Executive Directors' offices.
 Human Resources Committee--strengthens the efficiency and effectiveness of the Board in discharging its
   oversight responsibility on the World Bank's human resources strategy, policies and practices, and their
   alignment with the business needs of the organization.

Audit Committee
Membership
The Audit Committee consists of eight Executive Directors. Membership in the Audit Committee is determined
by the Board, based on nominations by the Chairman of the Board, following informal consultation with
Executive Directors.

Key Responsibilities
The Audit Committee is appointed by the Board for the primary purpose of assisting the Board in overseeing
IDA's finances, accounting, risk management, internal controls, and institutional integrity. Specific
responsibilities include:
 Oversight of the integrity of IDA's financial statements.
 Appointment, qualifications, independence, and performance of the External Auditor.
 Performance of the Group Internal Audit Vice Presidency.
 Adequacy and effectiveness of financial and accounting policies and internal controls and the mechanisms to

   deter, prevent and penalize fraud and corruption in IDA operations and corporate procurement.
 Effective management of financial, fiduciary and compliance risks in IDA.
 Oversight of the institutional arrangements and processes for risk management across IDA.

                                                                   59
In carrying out its role, the Audit Committee discusses financial issues and policies that affect IDA's financial
position and capital adequacy, with management, external auditors, and internal auditors. It also recommends the
annual audited financial statements for approval to the Board. The Audit Committee monitors and reviews
developments in corporate governance and its own role on an ongoing basis.

Executive Sessions
Under the Audit Committee's terms of reference, it may convene an executive session at any time, without
management's presence. The Audit Committee meets separately in executive session with the external and
internal auditors.

Access to Resources and to Management
Throughout the year, the Audit Committee receives a large volume of information to enable it to carry out its
duties and meets both formally and informally throughout the year to discuss relevant matters. It has complete
access to management, and reviews and discusses with management topics considered in its terms of reference.
The Audit Committee has the authority to seek advice and assistance from outside legal, accounting, or other
advisors as it deems necessary.

Auditor Independence
The appointment of the external auditor for IDA is governed by a set of Board-approved principles. These
include:
 Limits on the external auditor's provision of non-audit-related services;
 Requiring all audit-related services to be pre-approved on a case-by-case basis by the Board, upon

   recommendation of the Audit Committee; and
 Renewal of the external audit contract every five years, with a limit of two consecutive terms and mandatory

   rotation thereafter.
The external auditor may provide non-prohibited, non-audit related services subject to monetary limits.
Broadly, the list of prohibited non-audit services includes those that would put the external auditor in the roles
typically performed by management and in a position of auditing their own work, such as accounting services,
internal audit services, and provision of investment advice. The total non-audit services fees over the term of the
relevant external audit contract shall not exceed 70% of the audit fees over the same period.
Communication between the external auditor and the Audit Committee is ongoing and carried out as often as
deemed necessary by either party. The Audit Committee meets periodically with the external auditor and
individual committee members have independent access to the external auditor. IDA's external auditors also
follow the communication requirements with the Audit Committee set out under generally accepted auditing
standards in the United States.

External Auditors
The external auditor is appointed to a five-year term, with a limit of two consecutive terms, and is subject to
annual reappointment based on the recommendation of the Audit Committee and approval of a resolution by the
Board.
In May 2022, IDA's Board approved Deloitte & Touche LLP as IDA's external auditor for a second five- year
term commencing in FY24.

                                                                   60
Senior Management Changes
Lakshmi Shyam-Sunder, WBG Chief Risk Officer and Vice President, retired in January 2025. Dennis
McLaughlin was appointed to this role effective January 2, 2025.
Pamela O'Connell, Vice President and WBG Controller, will be retiring and leaving the Bank in September
2025.
Internal Controls
Internal Control over Financial Reporting
Each fiscal year, management evaluates the internal control over financial reporting to determine whether any
changes made in these controls during the fiscal year materially affect, or would be reasonably likely to
materially affect, IDA's internal control over financial reporting. The internal control framework promulgated by
the Committee of Sponsoring Organizations of the Treadway Commission (COSO), "Internal
Control--Integrated Framework (2013)" provides guidance for designing, implementing, and conducting internal
control and assessing its effectiveness. IDA uses the 2013 COSO framework to assess the effectiveness of the
internal control over financial reporting. As of June 30, 2025, management maintained effective internal control
over financial reporting. See "Management's report regarding effectiveness of Internal Control over Financial
Reporting" on page 72.
IDA's internal control over financial reporting as of June 30, 2025, has been audited by Deloitte & Touche LLP,
an independent auditor, as stated in their report, which is included herein.
Disclosure Controls and Procedures
Disclosure controls and procedures are designed to ensure that information required to be disclosed is gathered
and communicated to management as appropriate, to allow timely decisions regarding required disclosure by
IDA. Management conducted an evaluation of the effectiveness of such controls and procedures and the
President and the MDCFO have concluded that these controls and procedures were effective as of June 30, 2025.

                                                                   61
       SECTION XII: AFFILIATED ORGANIZATIONS--IBRD, IFC AND MIGA

IBRD's purpose is to work with its borrowing members so that they can achieve equitable and sustainable
economic growth in their national economies and find effective solutions to pressing regional and global
problems in economic development and environmental sustainability. It pursues this goal primarily by providing
financing, risk management products and other financial services, access to experts and a pool of knowledge in
development-related disciplines, so that borrowing members can pool, administer and prioritize resources they
dedicate to development-related objectives. IBRD is financed by capital subscriptions by its members and debt
raised in the capital markets. Under its Articles, IDA may not lend to, or borrow from IBRD.
IBRD may make transfers to IDA out of net income. In FY25, IDA received $515 million from IBRD, resulting
in cumulative transfers to IDA from IBRD of $17.3 billion as of June 30, 2025. For additional information on
transfers from IBRD, see Notes to the Financial Statements for the year ended June 30, 2025 --
Note H--Transactions with Affiliated Organizations.
IFC helps developing countries achieve sustainable growth by financing private sector investments, mobilizing
capital in international financial markets and providing advisory services to businesses and governments. Under
its Articles, IDA is permitted to provide financing to IFC, and may, at its discretion, require a suitable
governmental or other guarantee. Such financing is subject to the limitation that IDA may not lend IFC any
amount which would increase its total outstanding loans beyond a certain threshold. As of June 30, 2025, IDA
had no loans to IFC. As of June 30, 2025, IDA held a debt security issued by IFC with a fair value of
$115 million.
IFC may make grants to IDA. During FY25, there were no transfers from IFC to IDA. The cumulative transfers
from IFC to IDA were $3.9 billion as of June 30, 2025.
The IFC-MIGA Private Sector Window (PSW) was created under the Eighteenth Replenishment of IDA (IDA18)
to mobilize private sector investment in IDA-only countries and IDA-eligible Fragile and Conflict-affected
Situations (FCS). In IDA20, the PSW was allocated an initial envelope of $2.5 billion which was increased to
$2.7 billion corresponding to the release of the PSW resources allocated in the previous replenishment cycles.
This had no impact on the cumulative total PSW allocation in IDA18 through IDA20. Under IDA21, $3.2 billion
has been allocated to PSW, including $500 million capital set aside on IFC's balance sheet. The PSW is deployed
through four facilities designed to target critical challenges faced by the private sector and leverage IFC and
MIGA's business platforms and instruments. For additional information on the PSW, see Notes to the Financial
Statements for the year ended June 30, 2025 -- Note H--Transactions with Affiliated Organizations.
As of June 30, 2025, the PSW exposures comprising mainly of the MIGA Guarantee Facility and the IFC
Blended Finance Facility, were $1,579 million ($1,507 million--June 30, 2024), and the related accumulated
provision was $179 million ($212 million--June 30, 2024).
MIGA was established to encourage the flow of investments for productive purposes by providing guarantees
against noncommercial risks for foreign investment in its developing member countries. Under its Articles, IDA
is permitted to provide financing to MIGA, and may, at its discretion, require a suitable governmental or other
guarantee. Such financing is subject to the limitation that IDA may not lend MIGA any amount which would
increase its total outstanding loans beyond a certain threshold. As of June 30, 2025, IDA had no loans to MIGA.

                                                                   62
      SECTION XIII: ADMINISTRATION OF IDA

IDA's administration is composed of the Board of Governors, the Executive Directors, the President, other
officers, and staff.

All the powers of IDA are vested in the Board of Governors, which consists of a Governor and an Alternate
Governor. Each Governor and Alternate Governor of IBRD appointed by a member of IBRD which is also the
member of IDA shall ex officio be a Governor and Alternate Governor, respectively, of IDA. The Board of
Governors holds regular annual meetings.

There are 25 Executive Directors. The Executive Directors of IDA shall be composed ex officio of each
Executive Director of IBRD who shall have been (i) appointed by a member of IBRD which is also a member of
IDA, or (ii) elected in an election in which the votes of at least one member of IBRD which is also a member of
IDA shall have counted toward his election. The Board of Governors has delegated to the Executive Directors
authority to exercise all the powers of IDA except those reserved to the Governors under the Articles. The
Executive Directors function as a board, and each Executive Director is entitled to cast the number of votes of the
member or members by which such person is appointed or elected.

The following is an alphabetical list of the Executive Directors of IDA and the member countries by which they
were appointed or elected:

Name                                                        Countries

Zainab S. Ahmed . . . . . . . . . . . . . . . . . . .       Angola, Nigeria, South Africa
Abdulaziz Al-Mulla . . . . . . . . . . . . . . . . .        Bahrain, Egypt (Arab Republic of), Iraq, Jordan, Kuwait, Lebanon, Maldives,
                                                            Oman, Qatar, United Arab Emirates, Yemen (Republic of)
Abdelhak Bedjaoui . . . . . . . . . . . . . . . . .         Afghanistan, Algeria, Ghana, Iran (Islamic Republic of), Libya, Morocco,
                                                            Pakistan, Tunisia
Matteo Bugamelli . . . . . . . . . . . . . . . . . .        Albania, Greece, Italy, Malta, Portugal, San Marino, Timor-Leste
Arnaud Buiss . . . . . . . . . . . . . . . . . . . . .     France
Marcos V. Chiliatto . . . . . . . . . . . . . . . . .       Brazil, Colombia, Dominican Republic, Ecuador, Haiti, Panama, Philippines,
                                                            Suriname, Trinidad and Tobago
Nathalie Francken . . . . . . . . . . . . . . . . . .       Austria, Belgium, Czechia, Hungary, Kosovo, Luxembourg, Slovak Republic,
                                                            Slovenia, Trkiye
Olga Fuentes . . . . . . . . . . . . . . . . . . . . . .    Argentina, Bolivia, Chile, Paraguay, Peru, Uruguay
Vel Gnanendran . . . . . . . . . . . . . . . . . . . .      United Kingdom
Param Iyer . . . . . . . . . . . . . . . . . . . . . . . .  Bangladesh, Bhutan, India, Sri Lanka
Naoya Jinda . . . . . . . . . . . . . . . . . . . . . . .   Japan
Zarau Wendeline Kibwe . . . . . . . . . . . . .             Botswana, Burundi, Eritrea, Eswatini, Ethiopia, Gambia (The), Kenya, Lesotho,
                                                            Liberia, Malawi, Mozambique, Namibia, Rwanda, Seychelles, Sierra Leone,
Michael Krake . . . . . . . . . . . . . . . . . . . . .     Somalia (Federal Republic of), South Sudan, Sudan, Tanzania, Uganda, Zambia,
Beatrice Maser . . . . . . . . . . . . . . . . . . . . .    Zimbabwe
                                                            Germany
Alexey Morozov(Alternate) . . . . . . . . . .               Azerbaijan, Kazakhstan, Kyrgyz Republic, Poland, Serbia, Switzerland,
Robert Nicholl . . . . . . . . . . . . . . . . . . . . .    Tajikistan, Turkmenistan, Uzbekistan
                                                            Belarus, Russian Federation, Syrian Arab Republic
Sigrn Rawet . . . . . . . . . . . . . . . . . . . . . .    Australia, Cambodia, Kiribati, Korea (Republic of), Marshall Islands, Micronesia
                                                            (Federated States of), Mongolia, Nauru, New Zealand, Palau, Papua New Guinea,
                                                            Samoa, Solomon Islands, Tuvalu, Vanuatu
                                                            Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway, Sweden

                                                                       63
Name                                                         Countries

Katharine Rechico . . . . . . . . . . . . . . . . . .        Antigua and Barbuda, Bahamas (The), Barbados, Belize, Canada, Dominica,
                                                             Grenada, Guyana, Ireland, Jamaica, St. Kitts and Nevis, St. Lucia, St. Vincent
Eugene Philip Rhuggenaath . . . . . . . . . . .              and the Grenadines
Suhail A. Saeed . . . . . . . . . . . . . . . . . . . .
Wempi Saputra . . . . . . . . . . . . . . . . . . . .        Armenia, Bosnia and Herzegovina, Bulgaria, Croatia, Cyprus, Georgia, Israel,
Teresa Solbes . . . . . . . . . . . . . . . . . . . . . .    Moldova, Montenegro, Netherlands, North Macedonia, Romania, Ukraine
Harold Tavares . . . . . . . . . . . . . . . . . . . .
                                                             Saudi Arabia
Peter Wisner . . . . . . . . . . . . . . . . . . . . . .
Jiandi Ye . . . . . . . . . . . . . . . . . . . . . . . . .  Brunei Darussalam, Fiji, Indonesia, Lao People's Democratic Republic,
                                                             Malaysia, Myanmar, Nepal, Singapore, Thailand, Tonga, Viet Nam

                                                             Costa Rica, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Spain,
                                                             Venezuela (Republica Bolivariana de)

                                                             Benin, Burkina Faso, Cabo Verde, Cameroon, Central African Republic, Chad,
                                                             Comoros, Congo (Democratic Republic of), Congo (Republic of), Cote d'Ivoire,
                                                             Djibouti, Equatorial Guinea, Gabon, Guinea, Guinea-Bissau, Madagascar, Mali,
                                                             Mauritania, Mauritius, Niger, Sao Tome and Principe, Senegal, Togo

                                                             United States

                                                             China

The President is selected by the Executive Directors. Subject to their direction on questions of policy, the
President is responsible for the conduct of the ordinary business of IBRD and for the organization, appointment,
and dismissal of its officers and staff.

The following is a list of the principal officers of the Bank:

President . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  Ajay Banga
Senior Managing Director . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               Axel van Trotsenburg
Managing Director of Operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    Anna Bjerde
Managing Director & WBG Chief Financial Officer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                  Anshula Kant
Managing Director & WBG Chief Administrative Officer . . . . . . . . . . . . . . . . . . . . . . . . . . .                                     Wencai Zhang
Senior Vice President & WBG General Counsel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                              Christopher Stephens
WBG Chief Economist & Senior Vice President for Development Economics . . . . . . . . . . .                                                    Indermit Gill
Vice President, Development Finance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      Akihiko Nishio
Chief Information Officer & Vice President, Information & Technology Solutions . . . . . . .                                                   Amy Doherty
Vice President & Auditor-General, Internal Audit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                             Anke D'Angelo
Vice President, Europe, and Central Asia. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      Antonella Bassani
Vice President & Corporate Secretary for WBG . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                             Aradhana Kumar-Capoor
Vice President, East Asia and Pacific . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    Carlos Felipe Jaramillo
Vice President & WBG Chief Risk Officer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          Dennis McLaughlin
Vice President, Operations Policy and Country Services . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                 Gallina Andronova Vincelette
Vice President, Infrastructure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               Guangzhe Chen
Chairperson, Inspection Panel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                Ibrahim James Pam
Vice President, WBG External and Corporate Relations . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                   James Heimbach
Vice President, South Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             Johannes M.C. Zutt
Vice President & Treasurer, WB and Pension Finance Administrator, WBG . . . . . . . . . . . .                                                  Jorge Familiar
Vice President, Planet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           Juergen Voegele
Vice President, Ethics & Internal Justice Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                           Lisa Rosen
Vice President, People . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           Mamta Murthi

                                                                        64
Vice President, East Asia and Pacific . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          Manuela Ferro
Vice President, Integrity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  Mouhamadou Diagne
Vice President, Eastern and Southern Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              Ndiame Diop
Secretary, World Bank Accountability Mechanism . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                       Orsolya Melinda Szekely
Vice President, Western and Central Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               Ousmane Diagana
Vice President, Middle East and North Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 Ousmane Dione
Vice President, Prosperity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   Pablo Saaverdra
Vice President & WBG Human Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   Radi Anguelova
Director General, Independent Evaluation Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   Sabine Bernabe
Vice President, Budget, Performance Review and Strategic Planning . . . . . . . . . . . . . . . . . .                                Samuel Munzele Maimbo
Vice President, Digital Transformation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           Sangbu Kim
Vice President, Latin America and Caribbean . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                Susana Cordeiro Guerra
Vice President for Finance & WBG Controller . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  Zinga Venner (effective
                                                                                                                                     October 1, 2025)

                      SECTION XIV: THE ARTICLES OF AGREEMENT

The Articles constitute IDA's governing charter. They establish the status, privileges and immunities of IDA,
prescribe IDA's purposes, membership structure and organization, and authorize the operations in which it may
engage and impose limitations on the conduct of those operations. The Articles also contain, among other things,
provisions with respect to the admission of additional members, additions to resources, the terms and conditions
under which IDA may provide financing, the use of currencies held by IDA, the disposition of IDA's net income,
the withdrawal and suspension of members, and the suspension of operations of IDA.

The Articles provide that they may be amended (except for certain provisions the amendment of which requires
acceptance by all members) by consent of three-fifths of the members having four-fifths of the total voting
power. The Articles further provide that questions of interpretation of provisions of the Articles arising between
any member and IDA or between members of IDA shall be decided by the Executive Directors. Their decisions
may be referred by any member to the Board of Governors, whose decision is final. Pending the result of such
reference, IDA may act on the basis of the decision of the Executive Directors.

The Articles and the decisions made by the Executive Directors on questions of interpretation may be obtained
from IDA.

           SECTION XV: LEGAL STATUS, PRIVILEGES AND IMMUNITIES

The Articles contain provisions which accord to IDA, in the territories of each of its members, legal status and
certain privileges and immunities. The following is a summary of the more important of these provisions.

IDA has full juridical personality with capacity to make contracts, to acquire and dispose of property and to sue
and be sued. Actions may be brought against IDA in a court of competent jurisdiction in territories of any
member in which IDA has an office, has appointed an agent for accepting service or notice of process or has
issued or guaranteed securities, but no actions against IDA may be brought by its members or persons acting for
or deriving claims from its members.

The Governors and Executive Directors, and their Alternates, and the officers and employees of IDA are immune
from legal process for acts performed by them in their official capacity, except when IDA waives such immunity.

The archives of IDA are inviolable. The assets of IDA are immune from seizure, attachment or execution prior to
delivery of final judgment against IDA.

IDA, its assets, property and income, and its operations and transactions authorized by the Articles, are immune
from all taxation and from all customs duties. IDA is also immune from liability for the collection or payment of
any tax or duty.

65
The securities issued by IDA and the interest thereon are not exempt from taxation generally.
Under the Articles, securities issued by IDA and the interest thereon are not subject to any tax by a member
(a) which tax discriminates against such securities solely because they are issued by IDA, or (b) if the sole
jurisdictional basis for the tax is the place or currency in which such securities are issued, made payable or paid,
or the location of any office or place of business maintained by IDA. Also, under the Articles, IDA is not under
any obligation to withhold or pay any tax on any interest on such securities.

                  SECTION XVI: FISCAL YEAR AND ANNOUNCEMENTS

FISCAL YEAR
IDA's fiscal year runs from July 1 to June 30.
ANNOUNCEMENTS
Pursuant to the Articles of Agreement, IDA published an annual report containing its audited financial statements
and distributed quarterly financial statements to its members.

                      SECTION XVII: FEES TO EXTERNAL AUDITORS

The external auditor is appointed to a five-year term, with a limit of two consecutive terms, and is subject to
annual reappointment based on the recommendation of the Audit Committee and approval of a resolution by the
Board.
In May 2022, IDA's Board approved Deloitte & Touche LLP (Deloitte) as IDA's external auditor for a second
five- year term commencing in FY24.
For FY25 and FY24, Deloitte served as IDA's independent external auditors. The aggregate fees for professional
services rendered for IDA and IBRD by Deloitte for FY25 and FY24 are as follows: $2.9 million for FY25 audit
fees ($2.8 million -- FY24), and $0.6 million for FY25 audit-related services ($0.9 million -- FY24). Audit
related services include accounting consultations concerning financial accounting and reporting standards. The
external auditors may also provide non-prohibited non-audit services subject to monetary limits. Fees related to
non-audit services amounted to $2.2 million for FY25 ($4.2 million -- FY24). IDA records its share of these fees
as part of administrative expenses based on an agreed cost sharing formula. (See the Notes to the Financial
Statements for the year ended June 30, 2025 -- Note H -- Affiliated Organizations, for a description of the
allocation of administrative expenses between IDA and IBRD).
See the Governance section of this Information Statement for additional discussion of auditor independence
issues.

                                                                   66
                                     SECTION XVIII: APPENDIX

Glossary of Terms

Blend Borrower: IDA Member that is eligible to borrow from IDA on the basis of per capita income and is also
eligible to borrow from IBRD. Given the access to both sources of funds, blend borrowers are expected to limit
IDA funding to social sector projects and to use IBRD resources for projects in the other sectors.

Board: The Executive Directors as established by IDA's Articles of Agreement.

Completion Point: When conditions specified in the legal notification sent to a country are met and the
country's other creditors have confirmed their full participation in the HIPC debt relief initiative. When a country
reaches its Completion Point, IDA's commitment to provide the total debt relief for which the country is eligible,
becomes irrevocable.

Consultative Loss Limit: Reflects a level of IDA's tolerance for risk of underperforming the benchmark in any
fiscal year.

Credit Valuation Adjustment (CVA): The CVA represents the counterparty credit risk exposure and is
reflected in the fair value of derivative instruments.

Debit Valuation Adjustment (DVA): DVA on Fair Value Option (FVO) Elected Liabilities that corresponds to
the change in fair value of the liability presented under the FVO that relate to the instrument specific credit risk
("own- credit risk").

Deputies: Representatives of IDA's contributing partners, known as "the IDA Deputies".

Duration: Provides an indication of the sensitivity of underlying yield to changes in interest rates.

Encashment: Draw down (payment in cash) of a demand note in accordance with a schedule agreed for each
replenishment.

Externally Financed Output (EFO): An instrument for receiving external contributions to support the Bank's
work program, typically, for amounts under $1 million, however larger amounts can also be received.

Graduate Member: A member country that was once eligible to borrow from IDA, however due to
improvements in the member's economic results is no longer eligible to borrow from IDA and is deemed to have
"graduated" to IBRD.

Instrument of Commitment (IoC): The instrument through which a government commits to make a
subscription or a subscription and contribution to IDA's resources.

Lending operations: Total projects from a fiscal year based on project approval date as of June 30 of the fiscal
year.

Net Commitments: Commitments of Loans, grants and guarantees, net of full cancellations and terminations
relating to commitments approved in the same fiscal year.

Net Disbursements: Loans and grant disbursements net of repayments and prepayments.

Prudential Minimum: The minimum amount of liquidity that IDA is required to hold. It represents 80% of
twenty-four months coverage as calculated at the start of every fiscal year.

Replenishment: The process of regular review of the adequacy of IDA resources and authorization of additional
subscriptions. Under IDA's Articles, replenishments are required to be approved by IDA's Board of Governors
by a two-thirds majority of the total voting power.

Replenishment Envelope: Total value of resources available during a particular replenishment including
member equity contributions, borrowings, internal resources, IBRD transfers, IFC grants and other resources.

                                                                   67
Special Drawing Rights (SDR): The SDR is an international reserve asset, created by the International
Monetary Fund in 1969 to supplement the existing official reserves of member countries. The SDR is defined as
a basket of currencies, consisting of the Chinese Renminbi, Euro, Japanese Yen, Pound Sterling, and U.S. dollar.
The basket composition is reviewed every five years to ensure that it reflects the relative importance of
currencies in the world's trading and financial systems.
Voting Rights: IDA's voting rights consist of a combination of membership and subscription votes.
World Bank (WB): The World Bank consists of IBRD and IDA.
World Bank Group (WBG): The World Bank Group consists of the IBRD, IDA, IFC, MIGA and ICSID.

                                                                   68
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                  69
INTERNATIONAL DEVELOPMENT ASSOCIATION
FINANCIAL STATEMENTS AND INTERNAL CONTROL
REPORTS
JUNE 30, 2025

Management's Financial Reporting Assurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71
Management's Report Regarding Effectiveness of Internal Control Over Financial Reporting . . . . . . . . . . . . . . . . . 72
Independent Auditor's Report on Effectiveness of Internal Control Over Financial Reporting . . . . . . . . . . . . . . . . . 74
Independent Auditor's Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76
Balance Sheets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78
Statements of Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80
Statements of Comprehensive Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 81
Statements of Changes in Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82
Statements of Cash Flows . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83
Supplementary Information

   Summary Statement of Loans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84
   Statement of Voting Power and Subscriptions and Contributions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 87
Notes to Financial Statements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92

                                                                   70
The World Bank                                         1818 H Street N.W.  (202) 477-1234
INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT
INTERNATIONAL DEVELOPMENT ASSOCIATION                  Washington, D.C. 20433 Cable Address: INTBAFRAD

                                                       U.S.A.              Cable Address: INDEVAS

Management's Financial Reporting Assurance

                                                                           August 7, 2025

Audit Committee of the Board of Executive Directors
International Development Association

We have reviewed the financial statements for the period ending on June 30, 2025, and the accompanying
management's discussion and analysis of the International Development Association (IDA) (collectively, the
"Reports"). Based on our knowledge, the Reports do not (1) contain any untrue statement of a material fact, or
(2) omit to state a material fact necessary to make the statements made, in light of the circumstances under which
such statements were made, not misleading with respect to the period covered by the Reports.

Based on our knowledge, the financial statements and other financial information included in the Reports fairly
present in all material respects the financial condition, results of operations, changes in net assets, and cash flows
of IDA for the periods presented in the Reports.

Management is responsible for establishing and maintaining internal controls and procedures over financial
reporting for IDA. As part of carrying out these responsibilities, Management has:

 designed internal controls and procedures to ensure that material information required to meet the accuracy
  and completeness standards set forth above with regard to the Reports is recorded, processed, summarized
  and reported in a timely manner, as well as to ensure that such information is accumulated and
  communicated to Management as appropriate to allow timely decisions regarding required disclosure; and

 designed internal control over financial reporting to provide reasonable assurance regarding the reliability
  of financial reporting and the preparation of financial statements for external purposes in accordance with
  generally accepted accounting principles.

Management has evaluated the effectiveness of IDA's internal controls and procedures as of the date of the
Reports; and presented in management's discussion and analysis its conclusions about the effectiveness of such
controls and procedures, as of the end of the period covered by the Reports, based on such evaluation.
Management has disclosed in the Reports any change in IDA's internal control over financial reporting that
occurred during the period covered by the Reports that has materially affected, or is reasonably likely to
materially affect, IDA's internal control over financial reporting.

Further, Management has disclosed, based on its most recent evaluation of internal control over financial
reporting, to IDA's external auditor and the Audit Committee of IDA's Board of Executive Directors:

 all significant deficiencies in the design or operation of internal control over financial reporting which are
  reasonably likely to adversely affect IDA's ability to record, process, summarize, and report financial
  information; and

 any fraud, whether or not material, that involves Management or other employees who have a significant
  role in IDA's internal control over financial reporting.

                                 Ajay Banga
                                   President

                                Anshula Kant
Managing Director and World Bank Group Chief Financial Officer

                                       71
The World Bank                                         1818 H Street N.W.  (202) 477-1234
INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT
INTERNATIONAL DEVELOPMENT ASSOCIATION                  Washington, D.C. 20433 Cable Address: INTBAFRAD

                                                       U.S.A.              Cable Address: INDEVAS

                                      Management's Report Regarding Effectiveness of
                                           Internal Control over Financial Reporting

                                                                                                                       August 7, 2025

The management of the International Development Association (IDA) is responsible for the preparation,
integrity, and fair presentation of its published financial statements. The financial statements have been prepared
in accordance with accounting principles generally accepted in the United States of America and include amounts
based on informed judgments and estimates made by management.

The financial statements have been audited by an independent audit firm, which was given unrestricted access to
all financial records and related data, including minutes of all meetings of the Executive Directors and their
Committees. Management believes that all representations made to the independent auditors during their audit of
IDA's financial statements and audit of its internal control over financial reporting were valid and appropriate.
The independent auditor's reports accompany the audited financial statements.

Management is responsible for establishing and maintaining effective internal control over financial reporting for
financial statement presentations in conformity with accounting principles generally accepted in the United
States of America. Management maintains a comprehensive system of controls intended to ensure that
transactions are executed in accordance with management's authorization, assets are safeguarded, and financial
records are reliable. The system of internal control contains monitoring mechanisms, and actions are taken to
correct deficiencies identified. Management believes that internal control over financial reporting supports the
integrity and reliability of the external financial statements.

There are inherent limitations in the effectiveness of any internal control, including the possibility of human error
and the circumvention or overriding of controls. Accordingly, even effective internal controls can provide only
reasonable assurance with respect to financial statement preparation. Further, because of changes in conditions,
the effectiveness of internal controls may vary over time.

IDA assessed its internal control over financial reporting for financial statement presentation in conformity with
accounting principles generally accepted in the United States of America as of June 30, 2025. This assessment
was based on the criteria for effective internal control over financial reporting described in the Internal Control-
Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway
Commission. Based upon this assessment, management believes that IDA maintained effective internal control
over financial reporting presented in conformity with accounting principles generally accepted in the United
States of America as of June 30, 2025. The independent audit firm that audited the financial statements has
issued an Independent Auditor's Report which expresses an opinion on IDA's internal control over financial
reporting.

The Executive Directors of IDA have appointed an Audit Committee responsible for monitoring the accounting
practices and internal controls of IDA. The Audit Committee is comprised entirely of Executive Directors who
are independent of IDA's management. The Audit Committee is responsible for recommending to the Executive
Directors the selection of independent auditors. It meets periodically with management, the independent auditors,
and the internal auditors to ensure that they are carrying out their responsibilities. The Audit Committee is
responsible for performing an oversight role by reviewing and monitoring the financial, accounting and auditing
procedures of IDA in addition to reviewing IDA's financial reports. The independent auditors and the internal
auditors have full and free access to the Audit Committee, with or without the presence of management, to

72
discuss the adequacy of internal control over financial reporting and any other matters which they believe should
be brought to the attention of the Audit Committee.

                                                             Ajay Banga
                                                               President
                                                            Anshula Kant
                           Managing Director and World Bank Group Chief Financial Officer
                                                         Pamela O'Connell
                                      Vice President and World Bank Group Controller

                                                                   73
                                                                                                                                         Deloitte & Touche LLP
                                                                                                                                         7900 Tysons One Place
                                                                                                                                         Suite 800
                                                                                                                                         McLean, VA 22102
                                                                                                                                         USA

                                                                                                                                         Tel.: +1 703 251 1000
                                                                                                                                         Fax: +1 703 251 3400
                                                                                                                                         www.deloitte.com

   INDEPENDENT AUDITOR'S REPORT ON EFFECTIVENESS OF INTERNAL CONTROL OVER
                                                  FINANCIAL REPORTING.

President and Board of Executive Directors
International Development Association

Opinion on Internal Control over Financial Reporting

We have audited the internal control over financial reporting of the International Development Association
("IDA") as of June 30, 2025, based on the criteria established in the Internal Control -- Integrated Framework
(2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). In our
opinion, IDA maintained, in all material respects, effective internal control over financial reporting as of June 30,
2025, based on criteria established in Internal Control -- Integrated Framework (2013) issued by COSO.

We also have audited, in accordance with auditing standards generally accepted in the United States of America
(GAAS), the financial statements as of and for the year ended June 30, 2025 of IDA, and our report dated August
7, 2025, expressed an unmodified opinion on those financial statements.

Basis for Opinion

We conducted our audit in accordance with GAAS. Our responsibilities under those standards are further
described in the Auditor's Responsibilities for the Audit of Internal Control over Financial Reporting section of
our report. We are required to be independent of IDA and to meet our other ethical responsibilities, in accordance
with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained
is sufficient and appropriate to provide a basis for our audit opinion.

Responsibilities of Management for Internal Control over Financial Reporting

Management is responsible for designing, implementing, and maintaining effective internal control over financial
reporting, and for its assessment about the effectiveness of internal control over financial reporting, included in
the accompanying Management's Report Regarding Effectiveness of Internal Control over Financial Reporting.

Auditor's Responsibilities for the Audit of Internal Control over Financial Reporting

Our objectives are to obtain reasonable assurance about whether effective internal control over financial
reporting was maintained in all material respects and to issue an auditor's report that includes our opinion on
internal control over financial reporting. Reasonable assurance is a high level of assurance but is not absolute
assurance and therefore is not a guarantee that an audit of internal control over financial reporting conducted in
accordance with GAAS will always detect a material weakness when it exists.

In performing an audit of internal control over financial reporting in accordance with GAAS, we:

       Exercise professional judgment and maintain professional skepticism throughout the audit.

       Obtain an understanding of internal control over financial reporting, assess the risks that a material
         weakness exists, and test and evaluate the design and operating effectiveness of internal control over
         financial reporting based on the assessed risk.

                                                                   74
Definition and Inherent Limitations of Internal Control over Financial Reporting
An entity's internal control over financial reporting is a process effected by those charged with governance,
management, and other personnel, designed to provide reasonable assurance regarding the preparation of reliable
financial statements in accordance with accounting principles generally accepted in the United States of America.
An entity's internal control over financial reporting includes those policies and procedures that (1) pertain to the
maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of
the assets of the entity; (2) provide reasonable assurance that transactions are recorded as necessary to permit
preparation of financial statements in accordance with accounting principles generally accepted in the United
States of America, and that receipts and expenditures of the entity are being made only in accordance with
authorizations of management and those charged with governance; and (3) provide reasonable assurance
regarding prevention, or timely detection and correction of unauthorized acquisition, use, or disposition of the
entity's assets that could have a material effect on the financial statements.
Because of its inherent limitations, internal control over financial reporting may not prevent, or detect and
correct, misstatements. Also, projections of any assessment of effectiveness to future periods are subject to the
risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with
the policies or procedures may deteriorate.

August 7, 2025

                                                                   75
                                                Deloitte & Touche LLP
                                                7900 Tysons One Place
                                                Suite 800
                                                McLean, VA 22102
                                                USA

                                                Tel.: +1 703 251 1000
                                                Fax: +1 703 251 3400
                                                www.deloitte.com

INDEPENDENT AUDITOR'S REPORT

President and Board of Executive Directors
International Development Association

Opinion

We have audited the financial statements of the International Development Association ("IDA"), which comprise
the balance sheets as of June 30, 2025 and 2024, and the related statements of income, comprehensive income,
changes in equity, and cash flows for each of the three years in the period ended June 30, 2025, and the related
notes to the financial statements (collectively referred to as the "financial statements").

In our opinion, the accompanying financial statements present fairly, in all material respects, the financial
position of IDA as of June 30, 2025 and 2024, and the results of its operations and its cash flows for each of the
three years in the period ended June 30, 2025 in accordance with accounting principles generally accepted in the
United States of America.

We have also audited, in accordance with auditing standards generally accepted in the United States of America
(GAAS), IDA's internal control over financial reporting as of June 30, 2025, based on criteria established in
Internal Control -- Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the
Treadway Commission and our report dated August 7, 2025 expressed an unmodified opinion on IDA's internal
control over financial reporting.

Basis for Opinion

We conducted our audits in accordance with GAAS. Our responsibilities under those standards are further
described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are
required to be independent of IDA and to meet our other ethical responsibilities, in accordance with the relevant
ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.

Responsibilities of Management for the Financial Statements

Management is responsible for the preparation and fair presentation of the financial statements in accordance
with accounting principles generally accepted in the United States of America, and for the design,
implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial
statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events,
considered in the aggregate, that raise substantial doubt about IDA's ability to continue as a going concern for
one year after the date that the financial statements are issued.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion.
Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee

                                            76
that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The
risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as
fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal
control. Misstatements are considered material if there is a substantial likelihood that, individually or in the
aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS, we:

       Exercise professional judgment and maintain professional skepticism throughout the audit.

       Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or
         error, and design and perform audit procedures responsive to those risks. Such procedures include
         examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.

       Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
         are appropriate in the circumstances.

       Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting
         estimates made by management, as well as evaluate the overall presentation of the financial statements.

       Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise
         substantial doubt about IDA's ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the
planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that
we identified during the audit.

Report on Supplementary Information

Our audits were conducted for the purpose of forming an opinion on the financial statements as a whole. The
supplementary information listed in the table of contents is presented for the purpose of additional analysis and is
not a required part of the financial statements. This supplementary information is the responsibility of IDA's
management and was derived from and relates directly to the underlying accounting and other records used to
prepare the financial statements. Such information has been subjected to the auditing procedures applied in our
audits of the financial statements and certain additional procedures, including comparing and reconciling such
information directly to the underlying accounting and other records used to prepare the financial statements or to
the financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion,
such information is fairly stated in all material respects in relation to the financial statements as a whole.

Other Information Included in Management's Discussion & Analysis and Financial Statements

Management is responsible for the other information included in Management's Discussion & Analysis and
Financial Statements. The other information comprises the information included in Management's Discussion &
Analysis but does not include the financial statements and our auditor's report thereon. Our opinion on the
financial statements does not cover the other information, and we do not express an opinion or any form of
assurance thereon.

In connection with our audits of the financial statements, our responsibility is to read the other information and
consider whether a material inconsistency exists between the other information and the financial statements, or the
other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that
an uncorrected material misstatement of the other information exists, we are required to describe it in our report.

August 7, 2025

                                                                   77
BALANCE SHEETS

June 30, 2025 and June 30, 2024

Expressed in millions of U.S. dollars

                                                                                                                                                       2025       2024

Assets

Due from banks--Notes C and J

Unrestricted cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,191 $ 563

Restricted cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  24         23

                                                                                                                                                       1,215      586

Investments (including securities transferred under repurchase or securities lending agreements of                                                     47,272     34,377
   $120 million--June 30, 2025; $69 million--June 30, 2024) --Notes C, H and J . . . . . . . . . . . . . .

Securities Purchased Under Resale Agreements--Notes C and J . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                    136        58

Derivative assets, net--Notes F, H and J . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 415        363
Receivable from affiliated organization--Note H . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      1,807      1,395

Other Receivables                                                                                                                                            9          9
   Receivables from investment securities traded--Note C . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Accrued interest and commitment charges--Note D . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         860        726

Loans outstanding--Notes D, H and J                                                                                                                    869        735
   Total loans approved . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Less: Undisbursed balance (including signed loan commitments of $74,514 million--June 30,                                                           311,194 278,107
      2025; $68,851 million-- June 30, 2024) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                       (83,307) (75,559)
      Loans outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  227,887 202,548
   Less:
                                                                                                                                                         (4,611)    (4,065)
      Accumulated provision for loan losses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   (44)       (26)
      Deferred loan income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                       223,232    198,457
         Net loans outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Other assets--Notes G, H and K . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,923 5,379
Total assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $280,869 $241,350

                                       78
BALANCE SHEETS

June 30, 2025 and June 30, 2024

Expressed in millions of U.S. dollars

                                                                                                                                                             2025       2024

Liabilities

Borrowings--Notes E and J                                                                                                                                    $ 45,154   $ 26,425
   Market borrowings, at fair value . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   18,127     11,494
   Market borrowings, at amortized cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                        7,551      7,004
   Concessional partner loans, at amortized cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

                                                                                                                                                             70,832 44,923

Securities sold under repurchase agreements, securities lent under securities lending agreements,

and payable for cash collateral received --Notes C and J . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                   122        71

Derivative liabilities, net--Notes F, H and J . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      496        667

Payable for development grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,080 1,706

Payable to affiliated organization--Note H . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                       631        279

Other liabilities                                                                                                                                              644        648
   Payable for investment securities purchased--Note C . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                             2,893      2,755
   Accounts payable and miscellaneous liabilities--Notes D and K . . . . . . . . . . . . . . . . . . . . . . . . . . . .

                                                                                                                                                             3,537 3,403

Total liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76,698 51,049

Equity

Members' subscriptions and contributions--Note B                                                                                                             314,651    310,663
   Unrestricted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       321        320
   Restricted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                             314,972    310,983
   Subscriptions and contributions committed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Less:                                                                                                                                                     (19,013)   (26,690)
                                                                                                                                                               (4,277)    (4,220)
      Subscriptions and contributions receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
      Cumulative discounts/credits on subscriptions and contributions, net . . . . . . . . . . . . . . . . . . . . . . .                                     291,682    280,073

   Subscriptions and contributions paid-in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Nonnegotiable, noninterest-bearing demand obligations on account of members' subscriptions and                                                               (12,203) (12,508)
   contributions--Note B
   Unrestricted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  (47)       (45)
   Restricted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

                                                                                                                                                             (12,250) (12,553)

Deferred amounts to maintain value of currency holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                  (246)      (248)

Accumulated deficit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (71,903) (66,379)

Accumulated other comprehensive loss--Note I . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,112) (10,592)

Total equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 204,171 190,301

Total liabilities and equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $280,869 $241,350

             The Notes to Financial Statements are an integral part of these Statements.
                                                          79
STATEMENTS OF INCOME

For the fiscal years ended June 30, 2025, June 30, 2024 and June 30, 2023

Expressed in millions of U.S. dollars

                                                                                                                                                     2025 2024 2023

Interest revenue                                                                                                                                     $ 3,021 $ 2,639 $ 2,256
   Loans, net--Note D . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Investments, net--Notes F and H . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                     1,559 1,317 1,053
   Asset-liability management derivatives, net--Notes F and J . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                     78       58       15
Borrowing expenses, net--Note E . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                     (2,292) (1,616) (957)

Interest revenue, net of borrowing expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,366 2,398 2,367

Provision for losses on loans and other exposures--Note D . . . . . . . . . . . . . . . . . . . . . . . . . . . (358) (275) (688)

Non-interest revenue                                                                                                                                 1,098    1,031      966
   Revenue from externally funded activities--Notes H and K . . . . . . . . . . . . . . . . . . . . . . . . . .                                         23       26       27
   Commitment charges--Note D . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         36       25       31
   Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                     1,157    1,082    1,024
      Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                     (2,737)  (2,435)  (2,410)
Non-interest expenses                                                                                                                                   (20)     (20)     (20)
   Administrative--Notes H and K . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         --      (23)       (3)
   Contribution to special programs--Note H . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   (2,757)  (2,478)  (2,433)

      Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       515      291      117

Transfers from affiliated organizations--Note H . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Development grants--Note G . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (7,200) (5,291) (3,946)

Currency remeasurement (losses) gains, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                           (57) (21) 192

Unrealized mark-to-market gains (losses) on Investments-Trading portfolio, net--Notes F

and J . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      340      316      (29)

Unrealized mark-to-market gains (losses) on non-trading portfolios, net--Notes F and J                                                               484      393      143
   Asset-liability management derivatives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Other non-trading portfolios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                (14)     12       (9)

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  470      405      134

Net loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   $(5,524) $(3,573) $(3,262)

The Notes to Financial Statements are an integral part of these Statements.
                                             80
STATEMENTS OF COMPREHENSIVE INCOME

For the fiscal years ended June 30, 2025, June 30, 2024 and June 30, 2023

Expressed in millions of U.S. dollars

                                                                                                                                             2025 2024 2023

Net loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(5,524) $(3,573) $(3,262)

Other comprehensive income (loss)--Note I

Currency translation adjustments on functional currencies . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,447 (1,652) 224

Net Change in Debit Valuation Adjustment (DVA) on Fair Value option elected

liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  33  6  (18)

Total other comprehensive income (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,480 (1,646) 206

Total comprehensive income (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,956 $(5,219) $(3,056)

The Notes to Financial Statements are an integral part of these Statements.
                                             81
STATEMENTS OF CHANGES IN EQUITY

For the fiscal years ended June 30, 2025, June 30, 2024 and June 30, 2023

Expressed in millions of U.S. dollars

As of June 30, 2022 . . . . . . . . . . . . . .             Subscriptions   Nonnegotiable,    Deferred  Accumulated   Accumulated   Total equity
Net loss . . . . . . . . . . . . . . . . . . . . . . . .         and          noninterest-    amounts       deficit       other     $178,668
Other comprehensive income . . . . . . .
Cash contributions and demand                               contributions  bearing demand         to     $(59,544)   comprehensive      (3,262)
                                                               paid-in       obligations on   maintain      (3,262)        loss            206
   obligations received . . . . . . . . . . . .                                               value of           --
Demand obligations, (received)                               $257,777          account of     currency                 $ (9,152)       13,606
                                                                     --        members'       holdings           --            --
   encashed, net . . . . . . . . . . . . . . . . .                   --      subscriptions     $(246)                                   (3,435)
Currency remeasurement changes,                                            and contributions                     --          206
                                                                13,606         $(10,167)           --                                        (1)
   net . . . . . . . . . . . . . . . . . . . . . . . . . .                                         --            --            --     185,782
                                                                     --               --                   (62,806)
As of June 30, 2023 . . . . . . . . . . . . . .                                       --           --                          --       (3,573)
Net loss . . . . . . . . . . . . . . . . . . . . . . . .           (125)                                    (3,573)                     (1,646)
Other comprehensive loss . . . . . . . . .                     271,258                --           --            --            --
Cash contributions and demand                                                                                             (8,946)        8,896
                                                                     --           (3,435)          (1)           --
   obligations received . . . . . . . . . . . .                      --                         (247)                          --          843
Demand obligations, (received)                                                       125                         --       (1,646)
                                                                  8,896         (13,477)           --                                        (1)
   encashed, net . . . . . . . . . . . . . . . . .                                                 --            --            --     190,301
Currency remeasurement changes,                                      --               --                   (66,379)
                                                                                      --           --                          --       (5,524)
   net . . . . . . . . . . . . . . . . . . . . . . . . . .          (81)                                    (5,524)                      7,480
                                                               280,073                --           --            --            --
As of June 30, 2024 . . . . . . . . . . . . . .                                                                          (10,592)      10,874
Net loss . . . . . . . . . . . . . . . . . . . . . . . .             --              843           (1)           --
Other comprehensive income . . . . . . .                             --                         (248)                          --        1,038
Cash contributions and demand                                                         81                         --        7,480
                                                                10,874          (12,553)           --                                         2
   obligations received . . . . . . . . . . . .                                                    --            --            --   $204,171
Demand obligations, (received)                                       --               --                 $(71,903)
                                                                                      --           --                          --
   encashed, net . . . . . . . . . . . . . . . . .                  735
Currency remeasurement changes,                              $291,682                 --           --                          --
                                                                                                                       $ (3,112)
   net . . . . . . . . . . . . . . . . . . . . . . . . . .                         1,038            2
                                                                                               $(246)
As of June 30, 2025 . . . . . . . . . . . . . .                                     (735)
                                                                               $(12,250)

The Notes to Financial Statements are an integral part of these Statements.
                                             82
STATEMENTS OF CASH FLOWS

For the fiscal years ended June 30, 2025, June 30, 2024 and June 30, 2023

Expressed in millions of U.S. dollars

                                                                                                                                                                     2025       2024     2023

Cash flows from investing activities                                                                                                                                 $(24,652) $(21,093) $(20,601)
   Loans                                                                                                                                                                 8,918 8,187 7,751
      Disbursements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
      Principal repayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           61         77       96
   Non-trading securities--Investments
      Repayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       (15,673) (12,829) (12,754)

         Net cash used in investing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    11,912     9,739   10,171

Cash flows from financing activities                                                                                                                                  18,759    12,031    2,276
   Members' subscriptions and contributions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         (2,540)     (113)  (1,606)
   Medium and long-term borrowings
      New issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        24,755     8,625    6,762
      Retirements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      (19,545)   (8,581)  (5,783)
   Short-term borrowings (original maturities greater than 90 days)                                                                                                                      (2,187)
      New issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           424         --
      Retirements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            23        34       (7)
   Net short-term borrowings (original maturities less than 90 days) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                              21,735    9,626
   Net derivatives-borrowings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               33,788

         Net cash provided by financing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Cash flows from operating activities                                                                                                                                 (5,524) (3,573) (3,262)
   Net loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Adjustments to reconcile net loss to net cash (used in) provided by operating activities                                                                           358        275      688
      Provision for losses on loans and other exposures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                              57         21     (192)
      Currency remeasurement losses (gains), net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         (470)      (405)    (134)
      Unrealized mark-to-market gains on non-trading portfolios, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                        (2)       23
      Other non-interest expenses, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  472        308         3
      Amortization and capitalized interest on loans, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                                 175
   Changes in:
      Investments--Trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             (10,729)   (3,078)  8,651
      Net receivable/payable from investment securities traded/purchased . . . . . . . . . . . . . . . . . . . . . . . . . .                                               (8)    (664)    984
      Net derivatives--Investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                               (12)   (304)
      Net derivatives--Asset-liability management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                               (305)      335     510
      Net securities purchased/sold under resale/repurchase agreements and payable for cash collateral                                                                     77
         received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
      Net receivable/payable from/to affiliated organizations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                 293        419     (278)
      Payable for development grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      (61)      (419)    (269)
      Accrued interest and commitment charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                            (681)    (1,362)  (1,526)
      Other assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       (103)       (64)    (135)
      Accounts payable and miscellaneous liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                           (1,083)      (931)  (1,873)
                                                                                                                                                                        182        133      100
         Net cash (used in) provided by operating activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                     (17,527) (8,994) 3,138
Effect of exchange rate changes on unrestricted and restricted cash . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                     41         (15)     (7)
Net increase (decrease) in unrestricted and restricted cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Unrestricted and restricted cash at beginning of the fiscal year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                       629        (103)          3

Unrestricted and restricted cash at end of the fiscal year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                 586        689      686

                                                                                                                                                                     $ 1,215 $ 586 $ 689

Supplemental disclosure

Increase (Decrease) in ending balances resulting from exchange rate fluctuations:

Loans outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 9,386 $ (2,038) $ 767

Investment portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,417                      (331)    273

Borrowing portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,771                       (474)    735

Principal repayments written off under Heavily Indebted Poor Countries (HIPC)/Multilateral Debt

Relief Initiative (MDRI) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   12         104      22

Capitalized interest and loan origination fees in total loans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                19               3        3

Interest paid on borrowing portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,006 1,390                             778

The Notes to Financial Statements are an integral part of these Statements

                                       83
SUMMARY STATEMENT OF LOANS

June 30, 2025

Amounts expressed in millions of U.S. dollars

                                                                                               Undisbursed balance

Borrower or guarantor                                                                Total         Loans       Signed loan     Loans      Percentage
                                                                                     loans     approved but    commitments  outstanding     of total
Afghanistan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    not yet signed                                loans
Albania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       $ 287                         $--         $ 287
Angola . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           336       $--                  --         336   outstanding a
Armenia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            272            --              --         272
Azerbaijan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             645            --              --         645        0.13%
                                                                                         127            --              --         127        0.15
Bangladesh . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                              --                                    0.12
Benin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      31,994                         8,432      22,624         0.28
Belize . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         4,511           938          1,650        2,748        0.06
Bhutan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         113                           --
Bolivia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           24            --              24         439        9.93
                                                                                         676                          237          722        1.21
Bosnia and Herzegovina . . . . . . . . . . . . . . . . . . . . . .                       763            --                                    0.00
Burkina Faso . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                              --              41         472        0.19
Burundi . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            472                                     3,115        0.32
Cabo Verde, Republic of . . . . . . . . . . . . . . . . . . . . . .                    5,294            --              --
Cambodia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                             152          2,027          112        0.21
                                                                                         112            --                         639        1.37
Cameroon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               792                            --       1,810        0.05
Central African Republic . . . . . . . . . . . . . . . . . . . . .                     2,863            --            153                     0.28
Chad . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          --          1,053        2,815        0.79
China . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        5,908                                       123
Comoros . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              123           434          2,659          143        1.24
                                                                                         143            --              --            *       0.05
Congo, Democratic Republic of . . . . . . . . . . . . . . . .                               *           --              --           77       0.06
Congo, Republic of . . . . . . . . . . . . . . . . . . . . . . . . . .                   140            --              --
Cte d'Ivoire . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                             --              63       4,516            *
Djibouti . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         8,208                                       615        0.03
Dominica . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           1,008            --          3,692
                                                                                       8,710            --            393        6,015        1.98
Egypt, Arab Republic of . . . . . . . . . . . . . . . . . . . . . .                                       6                        324        0.27
El Salvador . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              514            --          2,689          253        2.64
Equatorial Guinea . . . . . . . . . . . . . . . . . . . . . . . . . . .                  321            --            190                     0.14
Eritrea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                         68           91       0.11
Eswatini . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            91            --                            *
                                                                                            *           --              --           13       0.04
Ethiopia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            13            --              --                        *
Fiji . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      --              --         429
Gambia, The . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                429            70              --        0.00        0.01
Georgia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             70                            --                    0.19
Ghana . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                           27                     14,031         0.00
                                                                                     17,205             --          3,147          414
Grenada . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            556            --            142          127        6.16
Guinea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           134            --               7         455        0.18
Guinea-Bissau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                455           918              --                    0.06
Guyana . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                                     6,670        0.20
Honduras . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           9,372            29          1,784                     2.93
                                                                                                       136                         265
                                                                                         403            --            109          804        0.12
                                                                                       1,677           169            737          236        0.35
                                                                                                                        16         198        0.10
                                                                                         252            --                       1,124        0.09
                                                                                         432                            65                    0.49
                                                                                       1,864                          740

                                                                                    84
SUMMARY STATEMENT OF LOANS (Continued)

June 30, 2025

Amounts expressed in millions of U.S. dollars

Borrower or guarantor                                                           Total            Undisbursed balance       Loans      Percentage
                                                                                loans                                   outstanding     of total
                                                                                                Loans                                    loans
                                                                                            approved but Signed loan
                                                                                            not yet signed commitments               outstanding a

India . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   $ 14,245    $--      $ 62               $ 14,183     6.22%
Indonesia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              1       --        --                    1      *
Iraq . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   --        --
Jordan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          205        --        --                 205    0.09
Kenya . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           192      338                            192    0.08
                                                                                   17,419               4,222              12,859    5.64
                                                                                                 99
Kosovo . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        653          136        242                 312    0.14
Kyrgyz Republic . . . . . . . . . . . . . . . . . . . . . . . . . . .           1,670            18       727                 807    0.35
Lao People's Democratic Republic . . . . . . . . . . . .                        1,477                     463                 996    0.44
Lebanon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      --                                  0.04
Lesotho . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        91            --        --                   91   0.25
                                                                                  775                     215                 560
                                                                                                 86                                  0.45
Liberia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   1,538            11       435               1,017    1.32
Madagascar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        5,295            --     2,277               3,007    0.82
Malawi . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      2,056            --                         1,867    0.04
Maldives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                     238        189                        1.09
Mali . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    140                      44                   96
                                                                                4,024            45                         2,492    0.22
                                                                                                 --     1,294                        0.38
Mauritania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      1,164            --                           504    0.35
Moldova . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       1,068            --       615                 859
Mongolia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                       --       209                 795       *
Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          853                      58                        1.37
Mozambique . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               3           --                              3
                                                                                               268         --               3,116    0.65
                                                                                3,513            --       397                        2.21
                                                                                                 --                         1,489    0.44
Myanmar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        1,549       1,145         60               5,042    1.26
Nepal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    6,668                  1,358                        7.93
Nicaragua . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        1,017           --                           991
Niger . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    5,673         359         26               2,872    0.05
Nigeria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   26,152         103      2,801              18,075    8.39
                                                                                                        6,932                        0.28
North Macedonia . . . . . . . . . . . . . . . . . . . . . . . . . .                119           --                           119
Pakistan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    24,995           --        --              19,109       *
Papua New Guinea . . . . . . . . . . . . . . . . . . . . . . . . .               1,182                  5,527                           *
Paraguay . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                                    633
Philippines . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           *                   446                    *
                                                                                      8                    --                    8
                                                                                                           --

Rwanda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,142            139        971              4,032        1.77
                                                                                                        --
Samoa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     93          --          --              93           0.04
                                                                                                     2,430
So Tom and Prncipe . . . . . . . . . . . . . . . . . . . . . .                      9    --          --              9            *

Senegal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,676           296           1             4,950        2.17
                                                                                                       121
Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           4    --                          4            *
                                                                                                        --
Sierra Leone . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        479         --         419              478          0.21
                                                                                                        --
Solomon Islands . . . . . . . . . . . . . . . . . . . . . . . . . . .           271         5                           145          0.06

South Sudan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         75          --                          75           0.03

Sri Lanka . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,290           180                         3,691        1.62

St. Kitts and Nevis . . . . . . . . . . . . . . . . . . . . . . . . .                  *    --                          *            *

                                                                                       85
SUMMARY STATEMENT OF LOANS (Continued)

June 30, 2025

Amounts expressed in millions of U.S. dollars

Borrower or guarantor                                                          Total            Undisbursed balance       Loans      Percentage
                                                                               loans                                   outstanding     of total
                                                                                               Loans                                    loans
                                                                                           approved but Signed loan
                                                                                           not yet signed commitments               outstanding a

St. Lucia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    $ 437       $ 43     $ 154              $ 240         0.11%
St. Vincent and the Grenadines . . . . . . . . . . . . . . . .                       426        32       119                 275     0.12
Sudan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        212        --        --                 212     0.09
Suriname . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             23       --        23                   --    0.00
Tajikistan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         470        --        86                 384     0.17

Tanzania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        17,625      547      3,581              13,497     5.92
Timor-Leste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              98       --        49                   49    0.02
Togo . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    --       970                         0.45
Tonga . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        1,986        --          3              1,016     0.02
Uganda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             45     641                              42    2.35
                                                                                                       1,441
Ukraine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        7,436         5                         5,354     2.62
Uzbekistan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    350      1,192                         1.95
Vanuatu . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        7,159        --     1,844               5,962     0.05
Viet Nam . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         6,649                                   4,455     5.08
Yemen, Republic of . . . . . . . . . . . . . . . . . . . . . . . .                              --        84                         0.46
                                                                                     191        --       516                 107
Zambia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        12,099                                  11,583     1.15
Zimbabwe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           1,081        --        27                         0.20
                                                                                                --                         1,054
Subtotal--Members a . . . . . . . . . . . . . . . . . . . . . .                    3,484                 857                        99.69%
                                                                                     453   $8,076         --               2,627
                                                                                                                             453
                                                                               $308,854             $73,605
                                                                                                                       $227,173

African Trade Insurance Agency . . . . . . . . . . . . . . $                          6    $--      $--                $  6            *%
                                                                                                --        --                        0.02
Bank of the States of Central Africa . . . . . . . . . . . .                   51               --        --              51
                                                                                                                                       *
Caribbean Development Bank . . . . . . . . . . . . . . . .                            6         25       678              6
                                                                                              247         82                        0.05
Eastern and Southern African Trade and                                                                                              0.12

Development Bank . . . . . . . . . . . . . . . . . . . . . . .                 810                                        107
                                                                                                                          262
West African Development Bank . . . . . . . . . . . . . .                      591

Subtotal--Regional development banks                                           $ 1,464 $ 272        $ 760 $ 432                     0.19%

Private Sector Window (PSW) Loans . . . . . . . . . . . $ 876                              $ 445    $ 149              $ 282        0.12%
                                                                                           $8,793   $74,514            $227,887     100%
Total--June 30, 2025 a                                                         $311,194

Total--June 30, 2024                                                           $278,107 $6,708      $68,851 $202,548

* Indicates amount less than $0.5 million or 0.005%.
a. May differ from the calculated amounts or sum of individual figures shown due to rounding.

The Notes to Financial Statements are an integral part of these Statements.
                                             86
STATEMENT OF VOTING POWER AND
SUBSCRIPTIONS AND CONTRIBUTIONS

June 30, 2025

Expressed in millions of U.S. dollars except for votes data

                                                                                                                                    Percentage Subscriptions and

                                                                                                                           Number of of total  contributions

Member a, c                                                                                                                votes    votes      committed b

Non-Recipients

Albania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     61,859  0.19%      $ 0.39
Algeria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    128,260  0.40             58.59
Argentina . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      431,271  1.33            164.21
Australia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    401,612  1.24
Austria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    325,101  1.00          5,763.57
                                                                                                                                                  4,667.71

Bahamas, The . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         59,906   0.18            8.54
                                                                                                                                                    2.36
Barbados . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     62,860   0.19       5,983.42
                                                                                                                                                    0.27
Belgium . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 378,585       1.17            3.74

Belize . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   19,834   0.06

Botswana . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       53,986   0.17

Brazil . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 477,996    1.47          834.59
                                                                                                                                                     8.02
Bulgaria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 113,171      0.35
                                                                                                                                               14,416.98
Canada . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 884,699      2.73            39.11

Chile . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  58,505   0.18        3,457.26

China . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 831,066     2.56

Colombia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 133,290        0.41        25.18
                                                                                                                                                  0.28
Costa Rica . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       31,091   0.10          9.04
                                                                                                                                                38.01
Croatia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    95,973   0.30       173.00

Cyprus . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     79,840   0.25

Czechia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 140,699     0.43

Denmark . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 314,240       0.97       4,709.90
                                                                                                                                                    0.58
Dominican Republic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             27,780   0.09            0.94
                                                                                                                                                  18.47
Ecuador . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    50,151   0.15            0.49

Egypt, Arab Republic Of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 134,452                 0.41

El Salvador . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      46,516   0.14

Equatorial Guinea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          6,167    0.02             0.41
                                                                                                                                                    27.75
Estonia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    58,764   0.18             0.42
                                                                                                                                                2,431.62
Eswatini . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     22,322   0.07       22,134.42

Finland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 201,204     0.62

France . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,273,031  3.93

Gabon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    2,093    0.01             0.63
                                                                                                                                               30,812.42
Germany . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,745,375     5.38
                                                                                                                                                  222.67
Greece . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   60,677   0.19             0.56

Guatemala . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41,077        0.13          184.69

Hungary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 217,265       0.67

Iceland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70,907      0.22         122.34
                                                                                                                                                 167.91
Indonesia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 269,228       0.83          24.18

Iran, Islamic Republic Of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 115,867               0.36            2.12
                                                                                                                                               1,053.19
Iraq . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73,274   0.23

Ireland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 124,357   0.38

                                                             87
STATEMENT OF VOTING POWER AND
SUBSCRIPTIONS AND CONTRIBUTIONS (Continued)

June 30, 2025

Expressed in millions of U.S. dollars except for votes data

                                                                                                                                       Percentage Subscriptions and

                                                                                                                           Number of of total  contributions

Member a, c                                                                                                                votes       votes   committed b

Israel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      97,553   0.30%   $ 181.66
Italy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    738,811   2.28     11,920.16
Japan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    2,739,070   8.45     52,322.34
Jordan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 0.08            0.41
Kazakhstan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            24,865   0.07            8.50
                                                                                                                              23,297
Korea, Republic Of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         1.11       3,152.60
Kuwait . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       359,989   0.40       1,186.06
Latvia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     130,773   0.20
Lebanon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  0.03          34.68
Libya . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       65,360   0.14            0.56
                                                                                                                                8,562                  1.30
                                                                                                                              44,771

Lithuania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      58,710      0.18     37.07
                                                                                                                                               532.78
Luxembourg . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           93,962      0.29
                                                                                                                                                77.80
Malaysia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 113,549           0.35       1.31

Mauritius . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      75,861      0.23    168.34

Mexico . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 142,236         0.44

Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         63,483      0.20          1.77
                                                                                                                                                    10.73
Morocco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 115,349            0.36    11,669.23
                                                                                                                                                  454.55
Netherlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 682,486            2.10
                                                                                                                                                     3.10
New Zealand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          89,306      0.28
                                                                                                                                                4,999.66
North Macedonia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            50,955      0.16          1.42
                                                                                                                                                     0.03
Norway . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 348,523           1.07          0.03
                                                                                                                                                     0.43
Oman . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     59,388      0.18
                                                                                                                                                    18.10
Palau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    3,804       0.01         40.26
                                                                                                                                                  169.96
Panama . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       10,185      0.03       357.21

Paraguay . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       46,493      0.14          9.75

Peru . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   93,174      0.29

Philippines . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 156,144          0.48

Poland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 616,720         1.90

Portugal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     82,342      0.25

Romania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100,041            0.31

Russian Federation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             97,264      0.30      799.81
                                                                                                                                               3,906.49
Saudi Arabia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,078,495           3.33
                                                                                                                                                    7.11
Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   86,096      0.26      386.85

Singapore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      68,302      0.21       40.46

Slovak Republic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100,483                0.31

Slovenia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     63,403      0.20         51.83
                                                                                                                                                  259.68
South Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         81,607      0.25     5,305.62

Spain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 348,663        1.07          0.17
                                                                                                                                               10,750.83
St. Kitts And Nevis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            13,868      0.04

Sweden . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 705,657           2.18

                                                             88
STATEMENT OF VOTING POWER AND
SUBSCRIPTIONS AND CONTRIBUTIONS (Continued)

June 30, 2025

Expressed in millions of U.S. dollars except for votes data

                                                                                                                                        Percentage Subscriptions and

                                                                                                                           Number of of total   contributions

Member a, c                                                                                                                votes        votes   committed b

Switzerland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           461,050    1.42%  $ 7,367.70
Thailand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        119,444    0.37         28.41
Trinidad And Tobago . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                              0.25           2.13
Tunisia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         81,067   0.01           1.89
Trkiye . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            2,793   0.57        214.98

Ukraine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         185,234    0.36           8.00
United Arab Emirates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                 *          5.58
United Kingdom . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                115,569            38,201.04
United States . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              1,367   6.95    61,605.96
                                                                                                                                         9.77
Subtotal Non-Recipients . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   2,254,407           $ 313,876
                                                                                                                            3,166,780   79.85%
Interstitial d
                                                                                                                           25,891,662

Angola . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       172,434    0.53%   $ 17.56
Armenia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         69,897    0.22            1.69
Azerbaijan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          78,321    0.24            6.38
Bolivia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       79,231    0.24            1.67
Bosnia And Herzegovina . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      59,968    0.19            5.50

Georgia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         70,945    0.22            2.99
India . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    952,169    2.94         801.57
Moldova . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                     0.17
Mongolia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          56,582    0.14            0.88
Viet Nam . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          45,818    0.19            0.30
                                                                                                                              61,168                    2.22
Subtotal Interstitials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          5.08%
                                                                                                                           1,646,533            $ 841

Total Non-Recipients and Interstitials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27,538,195                             84.93%  $ 314,717
Recipients

Afghanistan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         59,204      0.18%   $ 1.51
Bangladesh . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         176,234      0.54            7.83
Benin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 0.21            0.79
Bhutan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      69,166      0.21            0.08
Burkina Faso . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          66,532      0.23            0.82
                                                                                                                            75,064
Burundi . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   0.20            1.09
Cabo Verde . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          64,460      0.14            0.13
Cambodia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          43,840      0.22            1.61
Cameroon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          71,089      0.19            1.61
Central African Republic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  60,782      0.15            0.77
                                                                                                                            48,910
Chad . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  0.16            0.78
Comoros . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         52,210      0.15            0.13
Congo, Democratic Republic Of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                       47,140      0.26            4.58
Congo, Republic Of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              82,699      0.16            0.75
Cte d'Ivoire . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         52,211      0.21            1.56
                                                                                                                            67,377

                                                             89
STATEMENT OF VOTING POWER AND
SUBSCRIPTIONS AND CONTRIBUTIONS (Continued)

June 30, 2025

Expressed in millions of U.S. dollars except for votes data

Member a, c                                                                                                                 Number of   Percentage  Subscriptions and
                                                                                                                               votes      of total    contributions
Djibouti . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                     votes       committed b
Dominica . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            48,116
Eritrea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         66,729       0.15%      $ 0.26
Ethiopia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          46,636       0.21               0.14
Fiji . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      60,179       0.14               0.14
                                                                                                                                19,809       0.19               0.68
Gambia, The . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                            0.06               0.75
Ghana . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           55,208
Grenada . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           86,677       0.17               0.42
Guinea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          29,027       0.27               3.11
Guinea-Bissau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               37,287       0.09               0.14
                                                                                                                                44,500       0.12               1.33
Guyana . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         0.14               0.22
Haiti . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       83,979
Honduras . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            54,638       0.26               1.29
Kenya . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           59,206       0.17               1.11
Kiribati . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          87,732       0.18               0.44
                                                                                                                                43,592       0.27               2.40
Kosovo . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         0.13               0.10
Kyrgyz Republic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 77,778
Lao People'S Democratic Republic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                              64,522       0.24               0.93
Lesotho . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           57,255       0.20               0.56
Liberia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         57,106       0.18               0.73
                                                                                                                                52,038       0.18               0.23
Madagascar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                           0.16               1.12
Malawi . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          70,583
Maldives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            58,641       0.22               1.38
Mali . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        62,822       0.18               0.97
Marshall Islands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                62,445       0.19               0.05
                                                                                                                                12,654       0.19               1.37
Mauritania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         0.04               0.01
Micronesia, Federated States Of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         60,555
Mozambique . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                26,189       0.19               0.79
Myanmar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             73,310       0.08               0.03
Nepal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         82,096       0.23               2.10
                                                                                                                                54,710       0.25               2.56
Nicaragua . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          0.17               0.71
Niger . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         71,347
Nigeria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         52,210       0.22               0.44
Pakistan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         139,085       0.16               0.76
Papua New Guinea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   283,226       0.43             60.50
                                                                                                                                67,754       0.87            105.84
Rwanda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         0.21               1.24
St. Lucia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           52,038
St. Vincent And The Grenadines . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          30,532       0.16               1.12
Samoa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           50,022       0.09               0.23
Sao Tome And Principe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                       43,901       0.15               0.12
                                                                                                                                49,519       0.14               0.14
                                                                                                                                             0.15               0.12

                                                             90
STATEMENT OF VOTING POWER AND
SUBSCRIPTIONS AND CONTRIBUTIONS (Continued)

June 30, 2025

Expressed in millions of U.S. dollars except for votes data

                                                                                                                                     Percentage Subscriptions and

                                                                                                                         Number of of total  contributions

Member a, c                                                                                                              votes       votes   committed b

Senegal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     84,615     0.26%   $ 2.73
Sierra Leone . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        63,638     0.20            1.02
Solomon Islands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           43,901     0.13            0.13
Somalia, Federal Republic of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  19,165     0.06            0.97
South Sudan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       52,447     0.16            0.45

Sri Lanka . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    114,721     0.35            4.24
Sudan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   65,003     0.20            1.50
Suriname . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      64,625     0.20            0.15
Syrian Arab Republic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              24,077     0.07            1.20
Tajikistan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    53,918     0.17            0.53

Tanzania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      78,715     0.24            2.34
Timor-Leste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       45,123     0.14            0.44
Togo . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    61,840     0.19            1.19
Tonga . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   49,514     0.15            0.11
Tuvalu . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    16,615     0.05            0.03

Uganda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      50,392     0.15            2.32
Uzbekistan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      73,936     0.23            1.92
Vanuatu . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     50,952     0.16            0.31
Yemen, Republic Of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              78,475     0.24            2.25
Zambia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    98,131     0.30            3.68

Zimbabwe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       123,209     0.38            6.52

Total Recipients . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          4,885,583  15.07%  $ 255
   Total--June 30, 2025 b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                32,423,778    100%  $ 314,972
   Total--June 30, 2024 b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                31,791,138    100%  $ 310,983

Notes

a. See Notes to Financial Statements--Note A for an explanation of the two categories of membership.
b. May differ from the calculated amounts or sum of individual figures shown due to rounding.
c. Pursuant to the IDA Voting Rights Framework approved by IDA's Board effective July 1, 2022, for the purposes of

      additional subscriptions, IDA's membership structure was changed from either Part I or Part II to either Non-Recipient
      or Recipient, driven by their IDA borrowing eligibility (See Notes to Financial Statements--Note A for Members'
      Subscriptions and Contributions).
d. If a Non-Recipient member has graduated within the last five replenishments, they are classified as Interstitial Non-
      Recipient members (See Notes to Financial Statements--Note A for Members' Subscriptions and Contributions).
* Indicates amounts less than 0.005%.

             The Notes to Financial Statements are an integral part of these Statements.
                                                          91
NOTES TO FINANCIAL STATEMENTS

PURPOSE AND AFFILIATED ORGANIZATIONS
The International Development Association (IDA) is an international organization established in 1960. IDA's
main goal is reducing poverty through promoting sustainable economic development in the less developed
countries of the world that are members of IDA, by extending concessionary and non- concessionary financing in
the form of grants, loans and guarantees, and by providing related technical assistance. The activities of IDA are
complemented by those of three affiliated organizations, the International Bank for Reconstruction and
Development (IBRD), the International Finance Corporation (IFC), and the Multilateral Investment Guarantee
Agency (MIGA). Each of these organizations is legally and financially independent from IDA, with separate
assets and liabilities, and IDA is not liable for their respective obligations. Transactions with these affiliates are
disclosed in the notes that follow.
IDA is immune from taxation pursuant to Article VIII, Section 9, Immunities from Taxation, of IDA's Articles of
Agreement.

NOTE A--SUMMARY OF SIGNIFICANT ACCOUNTING AND RELATED POLICIES
IDA's financial statements are prepared in conformity with accounting principles generally accepted in the
United States of America (U.S. GAAP).
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and
liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the
reporting period. Due to the inherent uncertainty involved in making those estimates, actual results could differ
from these estimates. Significant judgment has been used in the valuation of certain financial instruments and the
determination of the adequacy of the accumulated provisions for debt relief and losses on loans and other
exposures.
The Executive Directors approved these financial statements for issuance on August 7, 2025, which was also the
date through which IDA's management evaluated subsequent events.
Certain reclassifications to the prior year's information have been made to conform with the current year's
presentation.

Translation and Remeasurement of Currencies
IDA's financial statements are expressed in U.S. dollars for the purpose of reporting its financial position and the
results of its operations.
IDA conducts its operations in Special Drawing Rights (SDR) and its component currencies of U.S. dollar, euro,
Japanese yen, pound sterling and Chinese renminbi. These constitute the functional currencies of IDA.
Assets and liabilities are translated at market exchange rates in effect at the end of the accounting period.
Revenue and expenses are translated at either the market exchange rates in effect on the dates of revenue and
expense recognition, or at an average of the market exchange rates in effect during each month. Translation
adjustments relating to the revaluation of all assets and liabilities denominated in either SDR or the component
currencies of SDR, are reflected in Accumulated Other Comprehensive Income. Remeasurement adjustments
relating to other currencies (non-functional currencies) are reported in the Statements of Income.

                                                                   92
Members' Subscriptions and Contributions

Recognition

Members' subscriptions and contributions committed for each IDA replenishment are initially recorded as both
subscriptions and contributions committed and, correspondingly, as subscriptions and contributions receivable.
Prior to effectiveness, only a portion of the value of Instruments of Commitment (IoCs) received as specified in
the replenishment resolution is recorded as subscriptions and contributions committed. Upon effectiveness, the
remainder of the value of IoCs received is subsequently recorded as subscriptions and contributions committed.

IoCs can contain unqualified or qualified commitments. Under an unqualified commitment, a contributing
member agrees to pay a specified amount of its subscriptions and contributions without requiring appropriation
legislation. A qualified commitment is subject to the contributing member obtaining the necessary appropriation
legislation. Subscriptions and contributions made under IoCs become available for commitment for loans, grants
and guarantees by IDA for a particular replenishment in accordance with the IDA replenishment envelope as
approved by the Executive Directors.

A replenishment becomes effective when IDA receives IoCs from contributing members whose subscriptions and
contributions aggregate to a specified portion of the full replenishment. Amounts not yet paid in at the date of
effectiveness, are recorded as subscriptions and contributions receivable and shown as a reduction of
subscriptions and contributions committed. These receivables become due throughout the replenishment period,
generally three years, in accordance with an agreed payment schedule. The actual payment of receivables when
they become due may be subject to the budgetary appropriation processes for certain members.

The subscriptions and contributions receivable are settled through payment of cash or deposit of nonnegotiable,
noninterest-bearing demand notes. The notes are encashed by IDA on an approximately pro rata basis either as
provided in the relevant replenishment resolution over the disbursement period of the loans and grants committed
under the replenishment, or as needed.

In certain replenishments, donors receive discounts (a reduced obligation) when they pay a contribution amount
before the relevant due date, and acceleration credits when they pay their full contribution amount before the due
date. IDA retains any related revenue earned on these early payments, with subscriptions and contributions
committed being recorded at contribution amounts received, grossed up for discounts and acceleration credits.
Acceleration credits and discounts are presented on the Balance Sheet in the line item Cumulative discounts/
credits on subscriptions and contributions, net. The discounts and acceleration credits are deducted in arriving at
the subscriptions and contributions paid-in.

Under the Seventeenth Replenishment of IDA's Resources (IDA17), which became effective beginning fiscal
year ended June 30, 2015, IDA's Executive Directors approved the use of a limited amount of concessional debt
funding, referred to as concessional partner loans (CPL), which continued in the subsequent Replenishments of
IDA's Resources. The borrowing terms of this concessional debt funding aim to match the concessional features
of IDA's loans. Generally, proceeds received under this arrangement have two separate components: (1) a
borrowing component and (2) a grant component, for which voting rights are allocated to providers of the CPL.
The borrowing component of the CPL is recognized and reported at amortized cost (see Borrowings section of
this note for more details). The grant component is calculated as a function of the terms of the loan and the
discount rate agreed upon during the replenishment discussions. This grant component is recorded as equity,
equivalent to the cash received.

For the purposes of determining its initial subscriptions and additional subscriptions and contributions up to and
including IDA19, the membership of IDA is divided into two categories: (1) Part I members, which make
payments of subscriptions and contributions provided to IDA in convertible currencies that may be freely used or
exchanged by IDA in its operations and (2) Part II members, which make payments of 10% of their initial
subscriptions in freely convertible currencies, and the remaining 90% of their initial subscriptions, and all
additional subscriptions and contributions in their own currencies or in freely convertible currencies. Certain

                                                                   93
Part II members provide a portion of their subscriptions and contributions in the same manner as mentioned in
(1) above. IDA's Articles of Agreement and subsequent replenishment resolutions provide that the currency of
any Part II member paid in by it may not be used by IDA for projects financed by IDA and located outside the
territory of the member except by agreement between the member and IDA. The national currency portion of
subscriptions of Part II members is recorded as restricted under Members' subscriptions and contributions unless
released under an agreement between the member and IDA, or used for administrative expenses. The cash paid
and notes deposited in nonconvertible local currencies for the subscriptions of Part II members are recorded
either as Restricted cash under Due from Banks, or as Restricted notes included under Nonnegotiable,
Noninterest-bearing Demand Obligations on Account of Members' subscriptions and contributions.

From IDA20 and onwards, under the new Voting Rights Framework, IDA members are classified as either a
Non-Recipient, Interstitial Non-Recipient, or Recipient member. The payment terms for Non-Recipient members
correspond to those outlined above for Part I members. Payment terms for Interstitial Non- Recipient and
Recipient members follow those outlined above for Part II members. Each original member shall, in respect of its
initial subscription, have 500 votes plus one additional vote for each $5,000 of its initial subscription.
Subscriptions other than initial subscriptions of original members carry such voting rights as the Board of
Governors determine. Certain subscriptions and contributions do not carry voting rights.

Following adoption by the Board of Governors on April 21, 2006 of a resolution authorizing additions to IDA's
resources to finance the MDRI (Multilateral Debt Relief Initiative), pledges received in the form of IoCs for
financing the MDRI are recorded and accounted for in their entirety. Therefore, the full value of all IoCs received
is recorded as Subscriptions and contributions committed. Correspondingly, the IoCs are recorded as
Subscriptions and contributions receivable and deducted from equity.

Withdrawal of Membership

Under IDA's Articles of Agreement, a member may withdraw from membership in IDA at any time. When a
government ceases to be a member, it remains liable for all financial obligations undertaken by it to IDA,
whether as a member, borrower, guarantor or otherwise. The Articles provide that upon withdrawal, IDA and the
government shall proceed to a settlement of accounts. If agreement is not reached within six months, standard
arrangements are provided. Under these arrangements, IDA would pay to the government the lower of the
member's total paid-in subscriptions and contributions or the member's proportionate share of IDA's net assets.
These funds would be paid as a proportionate share of all principal repayments received by IDA on loans made
during the period of the government's membership.

Valuation of Subscriptions and Contributions

The subscriptions and contributions provided through the Third Replenishment are expressed in terms of "U.S.
dollars of the weight and fineness in effect on January 1, 1960" (1960 dollars). Following the abolition of gold as
a common denominator of the monetary system and the repeal of the provision of the
U.S. law defining the par value of the U.S. dollar in terms of gold, the pre-existing basis for translating 1960
dollars into current dollars or any other currency disappeared. The Executive Directors of IDA decided, that until
such time as the relevant provisions of the Articles of Agreement are amended, the words "U.S. dollars of the
weight and fineness in effect on January 1, 1960" in Article II, Section 2(b) of the Articles of Agreement of IDA
are interpreted to mean the SDR introduced by the International Monetary Fund as the SDR was valued in terms
of U.S. dollars immediately before the introduction of the basket method of valuing the SDR on July 1, 1974,
such value being equal to $1.20635 for one SDR (the 1974 SDR). The Executive Directors also decided to apply
the same standard of value to amounts expressed in 1960 dollars in the relevant resolutions of the Board of
Governors.

The subscriptions and contributions provided through the Third Replenishment are expressed on the basis of the
1974 SDR. Prior to the decision of the Executive Directors, IDA had valued these subscriptions and contributions
on the basis of the SDR at the current market value of the SDR.

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The subscriptions and contributions provided under the Fourth Replenishment and thereafter are expressed in
members' currencies or SDRs and are payable in members' currencies. Subscriptions and

contributions made available for disbursement in cash to IDA are translated at market exchange rates in effect on
the dates they were made available. Subscriptions and contributions not yet available for disbursements are
translated at market exchange rates in effect at the end of the reporting period.

Nonnegotiable, Noninterest-bearing Demand Obligations on Account of Members' Subscriptions and
Contributions

Payments on demand obligations are due to IDA upon demand and these instruments are held in bank accounts
or in the designated depository in IDA's name. These instruments are carried and reported at face value as a
reduction to equity on the Balance Sheets.

Deferred amounts to maintain value of currency holdings

Article IV, Section 2(a) and (b) of IDA's Articles of Agreement provides for maintenance of value payments on
account of the local currency portion of the initial subscription whenever the par value of the member's currency
or its foreign exchange value has depreciated or appreciated to a significant extent, so long as, and to the extent
that, such currency shall not have been initially disbursed or exchanged for the currency of another member. The
provisions of Article IV, Section 2(a) and (b) have by agreement been extended to cover additional subscriptions
and contributions of IDA through the Third Replenishment, but are not applicable to those of the Fourth and
subsequent replenishments.

The Executive Directors decided on June 30, 1987 that settlements of maintenance of value, which would result
from the resolution of the valuation issue on the basis of the 1974 SDR, would be deferred until the Executive
Directors decide to resume such settlements. These amounts are shown as Deferred amounts to maintain value of
currency holdings and deducted from equity; any changes relate solely to translation adjustments.

Accumulated other comprehensive loss

Comprehensive loss consists of net loss and other gains or losses affecting equity that, under U.S. GAAP, are
excluded from net income (loss). For IDA, other comprehensive loss is comprised of currency translation
adjustments on functional currencies and DVA on fair value option elected liabilities, as presented in the
Statements of Comprehensive Income.

Loans and Other Exposures

Loans

In fulfilling its mission, IDA makes concessional and non-concessional loans. These loans and other exposures
(collectively "exposures") are made to, or guaranteed by, member governments or to the government of a
territory of a member (except for loans which have been made to regional development institutions for the
benefit of members or territories of members of IDA). In order to qualify for lending on IDA regular terms, a
country's per capita income must be below a certain level ($1,335 for the fiscal year ended June 30, 2025 and
$1,315 for the fiscal year ended June 30, 2024) and the country may have only limited or no access to IBRD
lending.

Apart from loans to member countries described above, under IDA18, the IDA-IFC-MIGA Private Sector
Window (PSW) was created to mobilize private sector investment in IDA-only countries and IDA-eligible
Fragile and Conflict-affected Situations. PSW includes loans which are deployed through facilities designed to
target critical challenges faced by the private sector and leverages IFC's and MIGA's business platform and
instruments.

Loans are carried at amortized cost. Commitment charges on the undisbursed balance of loans, are recognized in
revenue as earned. Any loan origination fees incorporated in the terms of a loan are deferred and recognized over
the life of the loan as an adjustment of the yield. Accrued interest is presented on the Balance Sheets in the line
item Other receivables, accrued interest and commitment charges.

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It is IDA's practice not to reschedule service charges, interest or principal payments on its loans or participate in
debt rescheduling agreements with respect to its loans, except for activation of a deferral under the Climate
Resilient Debt Clause (CRDC). Should any other modifications be made to the terms of existing loans, IDA
would perform an evaluation to determine the required accounting treatment, including whether the
modifications would result in the affected loans being accounted for as a new loan, or as a continuation of the
existing loans.

It is IDA's policy to place into nonaccrual status all loans and other exposures made to, or guaranteed by, a
member or to the territory of a member if principal or charges with respect to any such loan and other exposures
are overdue by more than six months, unless IDA's management determines that the overdue amount will be
collected in the immediate future. In addition, if loans by IBRD to a member government are placed into
nonaccrual status, all loans and other exposures to that member will also be placed into nonaccrual status by
IDA. On the date a member's loans and other exposures are placed into nonaccrual status, unpaid charges that
had been accrued on loans are deducted from loan revenue in the current period.

Interest and other charges on nonaccruing exposures are included in revenue only to the extent that payments
have been received by IDA. A decision on the restoration of accrual status is made upon arrears clearance. If
collectibility risk is considered to be particularly high at the time of arrears clearance, the member's exposures
may not automatically emerge from nonaccrual status until a suitable period of payment performance has passed.

The repayment obligations of loans funded from resources through the Fifth Replenishment are expressed in the
loan agreements in terms of 1960 dollars. In June 1987, the Executive Directors decided to value those loans at
the rate of $1.20635 per 1960 dollar on a permanent basis. Loans funded from resources provided under the Sixth
Replenishment and thereafter are denominated in SDRs, with the exception of loans provided under the Single
Currency Lending program, which allows IDA recipients to denominate new IDA loans in one of the five
constituent currencies of the SDR basket.

Loan commitments

Loan Commitments are undisbursed loans approved by the Executive Directors for which disbursements are yet
to be made. IDA records a provision for expected losses on undisbursed loan commitments including Deferred
Drawdown Options (DDOs), when signed by both parties. The signature of the loan agreement is a binding event
that prevents IDA from unconditionally withdrawing from the agreement.

Buy-down of Loans

IDA enters into loan buy-down agreements with third party donors who make payments on the borrower's
service and commitment charges through a trust fund until the borrower reaches agreed performance goals. The
trust fund then buys down the related loans for an amount equivalent to the present value of the remaining cash
flows of the related loans. The difference between the carrying amount of the related loans and their net present
value at the time of buy-down is reflected through provision expense.

Development Grants

Development grants made by IDA that are deemed to be conditional, are expensed when all the conditions have
been met, which generally occurs at the time of disbursement. At times, grant advances may be disbursed to
recipients prior to the conditions stipulated in the grant agreement being met and are presented in the Other assets
line on the Balance Sheets. Once the conditions for the grant advances are met, they are expensed. Development
grants that are deemed to be unconditional are expensed upon approval.

Commitment charges on the undisbursed balance of development grants, if any, are recognized in revenue as
earned.

Project Preparation Advances

Project Preparation Advances (PPAs) are advances made to borrowers to finance project preparation costs
pending the approval of follow-on development operations. If approved under grant terms, these amounts are

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expensed upon approval by management. To the extent there are follow-on loans or grants, these PPAs are
refinanced out of the proceeds of the loans and grants. Accordingly, the PPA grant amounts initially charged to
expense are reversed upon approval of the follow-on development grants or loans.

Guarantees Provided

Financial guarantees are commitments issued by IDA to guarantee payment performance by a member country
(the debtor) to a third party in the event that a member government (or government-owned entity) fails to
perform its contractual obligations to a third party.

Guarantees are regarded as outstanding when the underlying financial obligation of the borrower is incurred, and
called when a guaranteed party demands payment under the guarantee. IDA would be required to perform under
its guarantees if the payments guaranteed are not made by the borrower and the guaranteed party called the
guarantee by demanding payment from IDA in accordance with the terms of the guarantee.

At inception of the guarantees, IDA records the fair value of the obligation to stand ready and a corresponding
guarantee fee receivable, included in Other Liabilities--Accounts payable and miscellaneous liabilities, and in
Other Assets, respectively, on the Balance Sheets. Upfront guarantee fees received are deferred and amortized
over the life of the guarantee.

In the event that a sovereign guarantee is called, IDA has the contractual right to require payment from the
member country under an indemnity agreement. Any receivables arising out of the indemnity agreements for
amounts paid by IDA are presented as Loans outstanding on the Balance Sheets.

HIPC Debt Initiative

The Heavily Indebted Poor Countries (HIPC) Debt Initiative was launched in 1996 as a joint effort by bilateral
and multilateral creditors to ensure that reform efforts of HIPCs would not be put at risk by unsustainable
external debt burdens.

Under the Enhanced HIPC Framework, implementation mechanisms include: (i) partial forgiveness of IDA debt
service as it comes due, and ii) in the case of countries with a substantial amount of outstanding IBRD debt,
partial repayment with IDA resources (excluding transfers from IBRD) of outstanding IBRD debt.

Upon signature by IDA of the country specific legal notification, immediately following the decision by the
Executive Directors of IDA to provide debt relief to the country (the Decision Point), the country becomes
eligible for debt relief up to the nominal value equivalent of one third of the net present value of the total HIPC
debt relief committed to the specific country. Completion Point is reached when the conditions specified in the
legal notification are met and the country's other creditors have confirmed their full participation in the debt
relief initiative. When the country reaches its Completion Point, IDA's commitment to provide the total debt
relief for which the country is eligible, becomes irrevocable. IDA's provisioning policy for the HIPC Debt
Initiative is discussed below.

Donors compensate IDA on a "pay-as-you-go" basis to finance IDA's forgone loan reflows (principal and service
charge repayments) under the HIPC Debt Initiative. This means that for the debt relief provided by writing off
the principal and charges during a replenishment, the donors compensate IDA for the forgone reflows through
additional contributions in the relevant replenishment. These additional resources are accounted for as equity, as
subscriptions and contributions, because they carry voting rights.

MDRI

Debt relief provided under the Multilateral Debt Relief Initiative (MDRI), which is characterized by the write-off
of eligible loans upon qualifying borrowers reaching the HIPC Completion Point, is in addition to existing debt
relief commitments provided by IDA and other creditors under the HIPC Debt Initiative. When a country reaches
Completion Point, the applicable loans are written off. This write off occurs at the beginning of the quarterly
period following the date on which the country reaches Completion Point. For forgone repayments under MDRI,
donors established a separate MDRI replenishment spanning fiscal years 2007 through 2044 and pledged to

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compensate IDA for the costs of providing debt relief under MDRI on a "dollar-for-dollar" basis. These
additional resources are accounted for as equity, as subscriptions and contributions, because they carry voting
rights.

Accumulated Provision for Losses on Loans and Other Exposures

Management determines the appropriate level of accumulated provisions for losses on loan exposures, which
reflects the expected losses inherent in IDA's exposures.

The accumulated provision for losses on loans and other exposures includes the accumulated provision for the
HIPC Debt Initiative and MDRI.

HIPC Debt Initiative and MDRI

The adequacy of the accumulated provision for the HIPC Debt Initiative and MDRI is based on both quantitative
and qualitative analyses of various factors, including estimates of the Decision and the Completion point dates.
IDA periodically reviews these factors and reassesses the adequacy of the accumulated provision for the HIPC
Debt Initiative and MDRI.

Upon approval by the Executive Directors of a country as potentially eligible for IDA debt relief under the
Enhanced HIPC Initiative, the principal component of the estimated debt relief costs is recorded within the
accumulated provision for loan losses on the Balance Sheets, and as a provision expense in the Statements of
Income. This estimate is subject to periodic revision. Adjustments to the accumulated provision are recorded as a
charge to or release of provision in the Statements of Income. The accumulated provision for HIPC Debt
Initiative is reduced as debt relief is provided. The accumulated provision for the HIPC Debt Initiative is reduced
by the amount of the eligible loans written off when the country reaches Completion Point and becomes eligible
for MDRI debt relief.

Loans

Loan exposures are disaggregated into two groups: exposures in accrual status and exposures in nonaccrual
status. In each group, a credit risk rating is then assigned to the exposures for each borrower (defined as the
nominal amount of loans outstanding less the accumulated provision for loss under the HIPC Debt Relief
Initiative and MDRI).

The total exposure for provisioning is the current exposure and the estimated exposure taking into account
expected disbursements and repayments over the life of the instruments. The expected credit losses related to
loans and other exposures are calculated over the life of the instruments based on the expected exposures, the
expected default frequency (probability of default to IDA) and the estimated loss given default. The provision for
expected losses is the sum of the expected annual losses over the life of the instruments.

For countries in accrual status, these exposures are grouped in pools of borrowers with a similar risk rating. The
determination of a borrower's rating is based on various factors (see Note D--Loans and other exposures). Each
risk rating is mapped to an expected default frequency using IDA's credit migration matrix, based on historical
observations of credit ratings at the beginning and at the end of each year.

Expected losses on loan exposures comprise estimates of potential losses arising from default and nonpayment of
principal and interest amounts due, and any economic loss due to delays in receiving payments. The estimated
loss given default is determined at each balance sheet date, based on IDA's historical experience as well as
parameters adjusted for current conditions during the reasonable and supportable forecast period of IDA. The
loss given default is based on the borrower's eligibility, namely: IDA, Blend (IBRD and IDA) and IBRD, with
the highest loss given default associated with IDA eligibility. The borrower's eligibility is assessed at least
annually. The main factors used to determine the loss given default are the estimated length of delays in
receiving loan payments and the effective interest rate of the exposures. IDA's loan portfolio comprises mostly
fixed interest rate loans, therefore, the measurement of loss severity is not sensitive to market interest rate
movements.

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For the calculation of expected credit losses, IDA applies a three-year reasonable and supportable forecast period
representing the most reliable and available economic data during this period. IDA also applies a ten-year
straight-line reversion to the mean to reflect the historical pattern of rating migration to the mean of its loan
portfolio.

This methodology is also applied to countries with exposures in nonaccrual status, although the expected default
frequency is equal to 100%. At times, to reflect certain distinguishing circumstances of a particular nonaccrual
situation, different input assumptions may be used for a specific country.

All exposures for countries in nonaccrual status are individually assessed. Except for debt relief provided under
the HIPC Debt Initiative and MDRI, it is IDA's practice not to write off its loans. To date, no loans have been
written off, other than under the HIPC Debt Initiative, MDRI and buy-down of loans.

Management reassesses the adequacy of the accumulated provision on a quarterly basis and adjustments to the
accumulated provision are recorded as a charge to or release of provision in the Statements of Income. In
addition, reasonableness of the inputs used is reassessed quarterly.

When a member country prepays its outstanding loans, it may receive a discount equivalent to the difference
between the outstanding carrying amount and the present value of the remaining cash flows. In such instances,
IDA records a provision for losses on loans equivalent to the discount provided at the time when the prepayment
terms are agreed between IDA and the member country.

Loan Commitments

IDA records the expected credit losses on loan commitments based on the projected disbursements of signed loan
commitments (adjusted by cancellations based on historical experience), the probability of default and loss given
default. The provision is included in Other liabilities--Accounts payable and miscellaneous liabilities on the
Balance Sheets.

Guarantees Provided

IDA records a contingent liability for the expected losses related to guarantees over the projected life of the
instruments, which is determined based on the estimated exposure at default multiplied by the corresponding loss
given default and expected default probability for the projected life of the guarantee. This provision, as well as
the unamortized balance of the deferred guarantee fees, and the unamortized balance of the obligation to stand
ready, are included in Other liabilities--Accounts payable and miscellaneous liabilities on the Balance Sheets.

Statements of Cash Flows

For the purpose of IDA's Statements of Cash Flows, cash is defined as the amount of both Unrestricted cash and
Restricted cash presented under the Due from banks line on the Balance Sheets.

Restricted Cash

This mainly includes amounts which have been received from members as part of their subscriptions, which are
restricted for specified purposes.

Investments

Investment securities are classified based on management's intention on the date of purchase, their nature, and
IDA's policies governing the level and use of such investments. All investment securities are held in the trading
portfolio, except for a security purchased from IFC in 2015, which is classified as non- trading. While IDA does
not plan to sell the IFC security, IDA elected to measure it at fair value, so that all of its investment securities are
measured on the same basis. All investment securities and related financial instruments held by IDA are carried
and reported at fair value, or at face value which approximates fair value. Where available, quoted market prices
are used to determine the fair value of trading securities. Examples include most government and agency
securities, asset-backed securities (ABS) and mortgage-backed securities (MBS). For instruments for which

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market quotations are not available, fair values are determined using model-based valuation techniques, whether
internally generated or vendor-supplied, that include the standard discounted cash flow method using observable
market inputs such as yield curves, credit spreads, and constant prepayment rates. Unless quoted prices are
available, time deposits are reported at face value, which approximates fair value, as they are short term in
nature. The first-in first-out method is used to determine the cost of securities sold in computing the realized
gains and losses on these instruments.

Interest revenue is included in the Investments, net line in the Statements of Income. Unrealized mark-to- market
gains and losses for investment trading securities and related financial instruments held in the investment
portfolio are included in the Unrealized mark-to-market gains (losses) on Investments-Trading portfolio, net line
in the Statements of Income. Realized gains and losses on investment trading securities are recognized in the
same line in the Statements of Income when securities are sold.

IDA may require collateral in the form of cash or approved liquid securities from individual counterparties under
legal agreements that provide for collateralization in order to mitigate its credit exposure to these counterparties.
For collateral received in the form of cash from counterparties, IDA invests the amounts received and records the
investment and a corresponding obligation to return the cash. Collateral received in the form of liquid securities
is only recorded on IDA's Balance Sheets to the extent that it has been transferred under securities lending
agreements in return for cash.

Securities Purchased Under Resale Agreements, Securities Sold Under Repurchase Agreements, Securities
Lent Under Securities Lending Agreements and Payable for Cash Collateral Received

Securities purchased under resale agreements, securities sold under repurchase agreements, securities lent under
securities lending agreements and payable for cash collateral received are recorded at face value, which
approximates fair value, as they are short term in nature. IDA receives securities purchased under resale
agreements, monitors the fair value of the securities and, if necessary, closes out transactions and enters into new
repriced transactions. The securities transferred to counterparties under the repurchase and security lending
arrangements and the securities transferred to IDA under the resale agreements have not met the accounting
criteria for treatment as a sale. Therefore, securities transferred under repurchase agreements and security lending
arrangements are retained as assets on the Balance Sheets, and securities received under resale agreements are
not recorded on the Balance Sheets. Securities lent under securities lending agreements and sold under securities
repurchase agreements as well as securities purchased under resale agreements are presented on a gross basis,
which is consistent with the manner in which these instruments are settled. The interest earned with respect to
securities purchased under resale agreements is included in Investments, net, line in the Statements of Income.
The interest expense pertaining to the securities sold under repurchase agreements and security lending
arrangements is included in the Borrowing expenses, net line in the Statements of Income.

Borrowings

IDA introduced long term borrowings through the CPL with borrowing terms aimed at matching the features of
IDA's concessional loans. These borrowings are unsecured and unsubordinated debt in SDR component
currencies. IDA may prepay some or the entire outstanding amounts without penalty. These borrowings are
carried and reported at amortized cost.

IDA also issues debt instruments in the capital markets that are reported at either fair value or amortized cost.
IDA only elects fair value for market debt designated to fund liquidity or variable rate loans. Market debt not
meeting the fair value election criteria are reported at amortized cost. For debt carried at fair value, changes in
fair value are recognized in the related Unrealized mark-to-market gains (losses) on non-trading portfolios, net,
line in the Statements of Income, except for changes in the fair value that relate to IDA's own credit risk, which
are reported in Other Comprehensive Income (OCI) as a Debit Valuation Adjustment (DVA). The DVA on fair
value option elected liabilities is measured by revaluing each liability to determine the changes in fair value of
that liability arising from changes in IDA's cost of funding relative to the applicable reference rates.

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Plain vanilla bonds and discount notes, if any, are valued using the standard discounted cash flow method which
relies on observable market inputs such as yield curves, foreign exchange rates, basis spreads and funding
spreads. Where available, quoted market prices are used to determine the fair value of short-term notes.

Interest expense relating to all debt instruments in IDA's borrowing portfolio is measured on an effective yield
basis and is reported as part of the Borrowing expenses, net line in the Statements of Income.

Amortization of discounts and premiums is also included in the Borrowing expenses, net line in the Statements of
Income.

For the purpose of the Statements of Cash Flows, short term borrowings, if any, with an original maturity of less
than 90 days, are presented net of new issuances and retirements. In contrast, short term borrowings with an
original maturity greater than 90 days and less than one year are presented on a gross basis.

Accounting for Derivatives

IDA has elected not to designate any hedging relationships for accounting purposes. Rather, all derivative
instruments are recorded at fair value on the Balance Sheets, with changes in fair value accounted for through the
Statements of Income.

The presentation of derivative instruments on IDA's Balance Sheets reflects the netting of derivative asset and
liability positions and the related cash collateral received from the counterparty when a legally enforceable
master netting agreement exists, and other conditions are met. In addition, in the Notes to the financial
statements, unless stated differently, derivatives are presented on a net basis by instrument.

A master netting agreement is an industry standard agreement with a counterparty that permits multiple
transactions governed by that agreement to be terminated or accelerated and settled through a single payment in a
single currency in the event of a default (e.g., bankruptcy, failure to make a required payment or transfer
securities or deliver collateral when due). Obligations under master netting agreements are often secured by
collateral posted under an industry standard credit support annex to the master netting agreement. Upon default
by the counterparty, the collateral agreement grants an entity the right to set-off any amounts payable by the
counterparty against any posted collateral.

IDA uses derivative instruments in its investment trading portfolio to manage interest rate and currency risks.
These derivatives are carried and reported at fair value. Interest revenue (expenses) from these instruments are
reflected as part of Investment interest revenue, while unrealized mark-to-market gains and losses on these
derivatives are reflected as part of the Unrealized mark-to-market gains (losses) on Investments-Trading
portfolio, net line in the Statements of Income.

IDA also uses derivatives in its loan, asset-liability management and borrowing portfolios. Within the asset-
liability management portfolio, currency forward contracts are used to manage foreign exchange fluctuation risks
and interest rate swap contracts under the Capital Value Protection program are used to manage interest rate
volatility of IDA's capital adequacy model. In the loan and borrowing portfolios, interest rate swaps are used to
modify the interest rate characteristics of these portfolios. The interest component of these derivatives is
recognized as an adjustment to the loan revenue and borrowing costs over the life of the derivative contracts and
is included in Loans, net and Borrowing expenses, net lines in the Statements of Income. Changes in fair values
of these derivatives are recorded in the Statements of Income as Unrealized mark-to-market gains and losses on
non-trading portfolios, net.

For the purpose of the Statements of Cash Flows, IDA has elected to report the cash flows associated with the
derivative instruments that are used to economically hedge its borrowings and investments, in a manner
consistent with the presentation of the related borrowing and investment cash flows.

Derivative contracts include currency forward contracts, TBA securities, swaptions, exchange traded options and
futures contracts, currency swaps and interest rate swaps. Currency swaps and interest rate swaps are primarily

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plain vanilla instruments and they are valued based on standard discounted cash flow methods using observable
market inputs such as yield curves, foreign exchange rates, basis spreads and funding spreads.

Most outstanding derivative positions are transacted over-the-counter and are therefore valued using internally
developed valuation models. For commercial and non-commercial counterparties where IDA is in a net
receivable position, IDA calculates a Credit Valuation Adjustment (CVA) to reflect credit risk. For net derivative
positions with commercial and non-commercial counterparties where IDA is in a net payable position, IDA
calculates a DVA to reflect its own credit risk. The CVA is calculated using future projected exposures of the
derivative contracts, net of collateral received under credit support annex, and the probability of counterparty
default based on the Credit Default Swaps (CDS) spread and, where applicable, proxy CDS spreads. The DVA
calculation is generally consistent with the CVA methodology and incorporates IDA's own credit spread as
observed through the CDS market.

Valuation of Financial Instruments

IDA has an established and documented process for determining fair values. Fair value is based upon quoted
market prices for the same or similar securities, where available.

Financial instruments for which quoted market prices are not readily available are valued based on discounted
cash flow models and other established valuation models. These models primarily use market-based or
independently sourced market parameters such as yield curves, interest rates, volatilities, foreign exchange rates
and credit curves, and may incorporate unobservable inputs. Selection of these inputs may involve some
judgment. In instances where management relies on instrument valuations supplied by external pricing vendors,
there are procedures in place to validate the appropriateness of the models used as well as the inputs applied in
determining those values. IDA also has various internal controls in place to ensure that the valuations are
appropriate where internally developed models are used.

Fair Value Hierarchy

Financial instruments are categorized based on the priority of the inputs to the valuation technique. The fair value
hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1),
the next highest priority to observable market-based inputs or inputs that are corroborated by market data (Level
2) and the lowest priority to unobservable inputs that are not corroborated by market data (Level 3).

Financial assets and liabilities recorded at fair value on the Balance Sheets are categorized based on the inputs to
the valuation techniques as follows:

Level 1: Financial assets and liabilities whose values are based on unadjusted quoted prices for identical assets
             or liabilities in active markets.

Level 2:  Financial assets and liabilities whose values are based on quoted prices for similar assets or liabilities
          in active markets; quoted prices for identical or similar assets or liabilities in non- active markets; or
          pricing models for which all significant inputs are observable, either directly or indirectly for
          substantially the full term of the asset or liability.

Level 3: Financial assets and liabilities whose values are based on prices or valuation techniques that require
             inputs that are both unobservable and significant to the overall fair value measurement.

IDA's policy is to recognize transfers in and transfers out of levels as of the end of the reporting period in which
they occur.

Accounting for Contributions to Special Programs

IDA recognizes unconditional grants such as contributions to special programs as an expense upon approval by
the Executive Directors.

                      102
Transfers

Transfers from IBRD's net income to IDA are recognized in the Statements of Income upon approval by the
Board of Governors of IBRD. Similarly, transfers relating to grants made from IFC's retained earnings to IDA
are recognized in the transfers from affiliated organizations on the Statements of Income upon execution of a
grant agreement between IFC and IDA.

In addition, IDA periodically receives contributions from trust funds and private institutions. IDA does not assign
any voting rights for these contributions. Temporary restrictions relating to these contributions may arise from
the timing of receipt of cash, or donor imposed restrictions as to use.

Trust Funds

To the extent that IDA acts as an agent for or controls Bank-executed activities for trust funds, assets held on
behalf of specified beneficiaries are recorded on IDA's Balance Sheets, along with corresponding liabilities.
Amounts disbursed from these trust funds are recorded as expenses with the corresponding amounts recognized
as revenue. For recipient-executed activities for trust funds, since IDA acts as a trustee, no assets or liabilities
relating to these activities are recorded on the Balance Sheets.

In some trust funds, execution is split between recipient-executed and IDA-executed portions. Decisions on
assignment of funding resources between the two types of execution may be made on an ongoing basis;
therefore, the execution of a portion of these available resources may not yet be assigned.

IDA also acts as a financial intermediary to provide specific administrative or financial services with a limited
fiduciary or operational role. These arrangements, referred to as Financial Intermediary Funds, include, for
example, administration of debt service trust funds, financial intermediation and other more specialized limited
fund management roles. For these arrangements, funds are held and disbursed in accordance with instructions
from donors or, in some cases, an external governance structure or a body operating on behalf of donors. For
Financial Intermediary Funds, since IDA acts as a trustee, no assets or liabilities relating to these activities are
recorded on IDA's Balance Sheets.

Accounting and Reporting Developments

Evaluated Accounting Standards

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to
Reportable Segment Disclosures, which requires additional segment disclosures for public entities, including
those with a single reportable segment (such as IDA). All existing annual disclosures about segment profit or loss
must be provided on an interim basis in addition to disclosure of significant segment expenses. For IDA, the
ASU became effective for the annual period ended June 30, 2025, and the adoption of the ASU has resulted in
additional disclosures (see Note L--Segment Reporting).

Accounting Standards Under Evaluation

In November 2024, the FASB issued ASU 2024-03, Income Statement--Reporting Comprehensive
Income--Expense Disaggregation Disclosures (Subtopic 220-40), which requires disaggregated disclosure of
income statement expenses for public business entities. The ASU does not change the expense captions an entity
presents on the face of the income statement; rather, it requires disaggregation of certain expense captions into
specified categories in disclosures within the footnotes to the financial statements. In January 2025, the FASB
issued ASU 2025-01, Income Statement--Reporting Comprehensive Income--Expense Disaggregation
Disclosures (Subtopic 220-40): Clarifying the Effective Date which clarifies the effective date of ASU 2024-03.
For IDA, the ASUs will be effective for the annual period ending June 30, 2028 (annual statements of fiscal year
2028 and interim reporting periods thereafter). IDA is currently evaluating the impact of the ASUs on its
financial statements.

                                                                  103
In October 2023, the FASB issued ASU 2023-06, Disclosure Improvements: Codification Amendments in
Response to the SEC's Disclosure Update and Simplification Initiative. The new guidance is intended to align
U.S. GAAP requirements with those of the SEC and to facilitate the application of U.S. GAAP for all entities. If
by June 30, 2027, the SEC has not removed the applicable SEC requirement, the related ASU amendment will
not become effective. IDA is currently evaluating the impact of the ASU on its financial statements.

NOTE B--MEMBERS' SUBSCRIPTIONS AND CONTRIBUTIONS AND MEMBERSHIP

The movement in Subscriptions and Contributions paid-in is summarized below:

Table B1: Subscriptions and contributions paid-in

In millions of U.S. dollars

                                                                                                                                                       June 30, June 30,

                                                                                                                                                       2025       2024

Beginning of the fiscal year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       $280,073   $271,258
   Cash contributions received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           6,035      4,620
   Demand obligations received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             4,839      4,276
   Translation adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          735         (81)

End of the fiscal year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $291,682 $280,073

Table B2: Nonnegotiable, noninterest-bearing demand obligations on account of members' subscriptions
and contributions

In millions of U.S. dollars

                                                                                                                                                       June 30, June 30,
                                                                                                                                                         2025 2024

Beginning of the fiscal year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   $12,553    $13,477
   Demand obligations received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          4,839      4,276
   Demand obligations encashed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         (5,877)    (5,119)
   Translation adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       735        (81)

End of the fiscal year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $12,250 $12,553

Membership

On October 18, 2024, the Republic of Suriname became the 175th member of IDA.

NOTE C--INVESTMENTS

The investment securities held by IDA are designated as either trading or non-trading. All securities are carried
and reported at fair value, or at face value, which approximates fair value.

As of June 30, 2025, IDA's Investments were mainly comprised of government, agency and corporate
obligations (56%) and time deposits (44%), with all of the instruments classified as either Level 1 or Level 2
within the fair value hierarchy.

                                                   104
A summary of IDA's Investments is as follows:

Table C1: Investments-composition

In millions of U.S. dollars

Trading                                                                                                                                                            June 30,   June 30,
   Government, agency and corporate obligations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                2025       2024
   Time deposits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Asset-backed securities (ABS) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   $26,429    $19,380
                                                                                                                                                                    20,641     14,715
Non-trading                                                                                                                                                               87       111
   Debt security . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       $47,157    $34,206

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       115        171
                                                                                                                                                                   $47,272    $34,377

IDA manages its investments on a net portfolio basis. As of June 30, 2025, the largest holdings from a single
counterparty within the net investment portfolio was German government instruments (12%).

IDA uses derivative instruments to manage currency and interest rate risk in the investment portfolio. For details
regarding these instruments, see Note F--Derivative Instruments. The following table summarizes IDA's net
investment portfolio position:

Table C2: Net investment portfolio

In millions of U.S. dollars

                                                                                                                                                                   June 30, June 30,
                                                                                                                                                                     2025 2024

Investments                                                                                                                                                        $47,157    $34,206
   Trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        115        171
   Non-trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                    47,272     34,377
      Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                        136         58
Securities purchased under resale agreements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Securities sold under repurchase agreements, securities lent under securities lending agreements, and                                                              (1,388) (964)

   payable for cash collateral received a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Derivative Assets                                                                                                                                                  22         232
   Currency swaps and forward contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Interest rate swaps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         8          2
   Other b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                   --         3
      Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                   30         237
Derivative Liabilities
   Currency swaps and forward contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                        (294)      (20)
   Interest rate swaps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                   (4)        --
      Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                   (298)      (20)
Cash held in investment portfolio c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Receivable from investment securities traded and other assets d . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                           712        532
Payable for investment securities purchased e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                  9          9

   Net investment portfolio f . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                (644)      (648)

                                                                                                                                                                   $45,829 $33,581

a. As of June 30, 2025, this amount includes cash collateral of $1,266 million received from counterparties under
      derivative agreements ($893 million--June 30, 2024).

b. These relate to to-be-announced (TBA) Securities, swaptions, exchange traded options and futures contracts.
c. These amounts are included in Unrestricted cash under Due from banks on the Balance Sheets.

                                               105
d. These amounts are included in Other receivables on the Balance Sheets.
e. These amounts are included in Other liabilities on the Balance Sheets. As of June 30, 2025, short sales amounted to

      $139 million ($59 million--June 30, 2024).
f. As of June 30, 2025, the liquid assets amount to $45,714 million ($33,410 million--June 30, 2024), which is the Net

      investment portfolio, excluding Non-trading investments.

As of June 30, 2025, IDA's non-trading investment portfolio (principal amount due on a debt security with IFC)
was $124 million ($185 million--June 30, 2024). For details regarding this instrument, see Note
H--Transactions with Affiliated Organizations.

Commercial Credit Risk

For the purposes of risk management, IDA is party to a variety of financial transactions, certain of which involve
elements of credit risk. Credit risk exposure represents the maximum potential loss due to possible
nonperformance by obligors and counterparties under the terms of the contracts. For all securities, IDA limits
trading to a list of authorized dealers and counterparties. In addition, credit limits have been established for
counterparties by type of instrument and maturity category.

Swap Agreements

Credit risk is mitigated through a credit approval process, volume limits, monitoring procedures and the use of
mark-to-market collateral arrangements. IDA may require collateral in the form of cash or other approved liquid
securities from individual counterparties to mitigate its credit exposure.

IDA has entered into master derivative agreements, which contain legally enforceable close-out netting
provisions. These agreements may further reduce the gross credit risk exposure related to the swaps. Credit risk
with financial assets subject to a master derivatives arrangement is further reduced under these agreements to the
extent that payments and receipts with the counterparty are netted at settlement. The reduction in exposure as a
result of these netting provisions can vary due to the impact of changes in market conditions on existing and new
transactions. For more information on netting and offsetting provisions, see Note F--Derivative Instruments.

The following is a summary of the collateral received by IDA in relation to swap transactions.

Table C3: Collateral received

In millions of U.S. dollars

                                                                                                                                                                   June 30, June 30,
                                                                                                                                                                     2025 2024

Collateral received                                                                                                                                                $1,266   $893
   Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       33     --
   Securities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total collateral received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,299 $893

Collateral permitted to be repledged . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   $1,299   $893
Amount of collateral repledged . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      --     --
Amount of cash collateral invested . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                                   $ 796    $601

Securities Lending

IDA may engage in securities lending and repurchases, against adequate collateral, as well as securities
borrowing and reverse repurchases (resales) of government, agency and corporate obligations, and ABS. These
transactions have been conducted under legally enforceable master netting arrangements, which allow IDA to
reduce its gross credit exposure related to these transactions. IDA presents its securities lending and repurchases,
as well as resales, on a gross basis on the Balance Sheets. As of June 30, 2025, there were no amounts that could
potentially be offset as a result of legally enforceable master netting arrangements ($58 million--June 30, 2024).

                               106
Transfers of securities by IDA to counterparties are not accounted for as sales as the accounting criteria for the
treatment as a sale have not been met. Counterparties are permitted to repledge these securities until the
repurchase date.

Securities lending agreements and repurchase agreements expose IDA to several risks, including counterparty
risk, reinvestment risk, and risk of a collateral gap (increase or decrease in the fair value of collateral pledged).
IDA has procedures in place to ensure that trading activity and balances under these agreements are below
predefined counterparty and maturity limits, and to actively monitor net counterparty exposure, after collateral,
using daily market values. Whenever the collateral pledged by IDA related to its borrowings under securities
lending agreements and repurchase agreements declines in value, the transaction is re-priced as appropriate by
returning cash or pledging additional collateral.

As of June 30, 2025, liabilities relating to securities transferred under repurchase or securities lending agreements
were $122 million ($71 million--June 30, 2024) and there were no unsettled trades relating to repurchase or
securities lending agreements (Nil--June 30, 2024). There were no replacement trades entered into in
anticipation of maturing trades of a similar amount (Nil--June 30, 2024). As of June 30, 2025, and June 30,
2024, the remaining contractual maturity of these agreements was up to 30 days. The securities transferred were
mainly comprised of government and agency obligations.

In the case of resale agreements, IDA receives collateral in the form of liquid securities and is permitted to
repledge these securities. While these transactions are legally considered to be true purchases and sales, the
securities received are not recorded on IDA's Balance Sheets as the accounting criteria for treatment as a sale
have not been met. As of June 30, 2025, and June 30, 2024, there were no unsettled trades pertaining to securities
purchased under resale agreements. For resale agreements, IDA received securities with a fair value of $139
million as of June 30, 2025 ($59 million--June 30, 2024). As of June 30, 2025 and June 30, 2024, none of these
securities had been transferred under repurchase or security lending agreements.

NOTE D--LOANS AND OTHER EXPOSURES

IDA's loans and other exposures are generally made to, or guaranteed by, member countries of IDA. Loans are
carried at amortized cost. Other exposures include signed loan commitments, Deferred Drawdown Options
(DDO), irrevocable commitments, grant advances, project preparation advances and guarantees. Based on IDA's
internal credit quality indicators, the loans outstanding are in the High and Medium risk classes.

IDA excludes the interest and service charges receivable balance from the amortized cost basis and the related
disclosures. As of June 30, 2025, accrued interest income and service charges on loans of $849 million ($715
million--June 30, 2024) are presented in Other receivables--Accrued interest and commitment charges on the
Balance Sheets.

As of June 30, 2025, 0.4% of IDA's loans were in nonaccrual status and related to two borrowers. The total
accumulated provision for losses on loans in accrual status and nonaccrual status was 2% of total loans as of
June 30, 2025.

The maturity structure of loans outstanding was as follows:

Table D1: Loans outstanding--Maturity structure

In millions of U.S. dollars                                                    $ 10,218                               June 30, 2024                                  $ 9,359
                                                                                  46,083                                                                                41,030
                             June 30, 2025                                        99,016  July 01, 2024 through June 30, 2025 . . . . . . . . .                         90,203
                                                                                  72,570  July 01, 2025 through June 30, 2029 . . . . . . . . .                         61,956
July 01, 2025 through June 30, 2026 . . . . . . . . . . .                                 July 01, 2029 through June 30, 2039 . . . . . . . . .
July 01, 2026 through June 30, 2030 . . . . . . . . . . .                      $227,887   Thereafter . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     $202,548
July 01, 2030 through June 30, 2040 . . . . . . . . . . .
Thereafter . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

                                                                               107
Loans outstanding had the following currency composition:

Table D2: Loans outstanding- Currency composition

In millions of U.S. dollars

                                                                                                          June 30, 2025 % of total June 30, 2024 % of total

SDR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   $169,746  75% $160,957   80%

U.S. dollar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     31,609    14%  22,310    11%

Euro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  25,427    11%  18,626    9%

Japanese yen . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        998       *    569       *

Pound sterling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        107       *    86        *

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   $227,887  100% $202,548  100%

* Indicates percentage less than 0.5%.

Credit Quality of Loans

Sovereign loans constitute the substantial majority of IDA's loan exposures. In addition, IDA has exposure to
PSW loans which constitute 0.1% of the loans outstanding.

IDA's country risk ratings are an assessment of its borrowers' ability and willingness to repay IDA on time and
in full. These ratings are internal credit quality indicators. Individual country risk ratings are derived on the basis
of both quantitative and qualitative analyses. The components considered in the analysis can be grouped broadly
into eight categories: political risks; external debt and liquidity; fiscal policy and public debt burden; balance of
payments risks; economic structure and growth prospects; monetary and exchange rate policy; financial sector
risks; and corporate sector debt and vulnerabilities. The analysis also takes into account Environmental, Social
and Governance (ESG) factors.

Based on the borrower risk ratings, IDA classifies loans into three credit quality categories--Low Risk, Medium
Risk, and High Risk. These categories, which are described below, are intended to differentiate between varying
levels of borrower credit risk and the associated likelihood of non-timely debt service across IDA's loan
portfolio.

Low Risk: Exposures in this group generally exhibit strong credit characteristics with minimal uncertainty around
repayment. Borrowers in this category typically demonstrate solid financial performance, consistent and stable
cash flows, and a history of timely debt service. The likelihood of non-timely debt service is considered low.

Medium Risk: Exposures in this group display satisfactory credit profiles, but may be subject to moderate risk
factors, such as country-specific volatility or operational challenges. Borrowers in this category usually exhibit
adequate financial performance, though their resilience to adverse conditions may be more limited. The
likelihood of non-timely debt service is considered moderate to low.

High Risk: Exposures in this category exhibit signs of elevated credit risk. Borrowers in this category may show
weak or deteriorating financial indicators, irregular or delayed payment history, or limited capacity to absorb
external shocks. While these loans remain on accrual status, the likelihood of non-timely debt service is
considered heightened.

IDA's borrower country risk ratings are key determinants in the provision for loan losses. Country risk ratings of
borrowers in accrual status are grouped in pools with similar credit ratings for the purpose of the calculation of
the expected credit losses. Exposure for certain countries in accrual status may be individually assessed on the
basis that they do not share common risk characteristics with an existing pool of exposures. All exposures for
countries in nonaccrual status are individually assessed. Country risk ratings are determined in review meetings
that take place several times a year. All countries are reviewed at least once a year, or more frequently if
circumstances warrant, to determine the appropriate ratings.

                                        108
An assessment was also performed to determine whether a qualitative adjustment was needed on the loan loss
provision as of June 30, 2025, including consideration of global and macroeconomic events.

Management concluded that a qualitative adjustment beyond the regular application of IDA's loan loss provision
framework was not warranted.

Overdue Amounts

As of June 30, 2025, there were no principal and charges under sovereign loans in accrual status that were
overdue by more than three months.

IDA considers loans to be past due when a borrower fails to make payment on any principal, interest or other
charges due to IDA on the dates provided in the contractual loan agreement.

The following tables provide an aging analysis and amounts past due of loans outstanding:

Table D3: Loans outstanding-Aging structure

In millions of U.S. dollars

Days past due                                                                                  June 30, 2025    Total
                                                 Up to 45 46-60 61-90 91-180 Over 180 Total Past Due Current b

Risk Class                                                 $-- $-- $--            $--    $--               $ --$ --
   Low . . . . . . . . . . . . . . . . . . . . $--                                   --     --                14,367 14,367
   Medium . . . . . . . . . . . . . . . . . --             ----               --      *     23
   High . . . . . . . . . . . . . . . . . . . . 16                                                          212,615 212,638 a
                                                           4      1           2

Loans in accrual status . . . . . . . . 16                 4      1           2   *      23                226,982 227,005

Loans in nonaccrual status . . . . .             7         *      3           9   524    543               339  882

Total . . . . . . . . . . . . . . . . . . . . . . $23      $ 4 $ 4 $11            $524   $566              $227,321 $227,887 c

Table D3.1:

In millions of U.S. dollars                      Up to 45  46-60  61-90  91-180   June 30, 2024            Current b Total
                                                                                  Over 180 Total Past Due
Days past due                                       $--     $--    $--     $--
Risk Class                                           --      --     --      --    $--    $--               $ --$ --
                                                     18        *      *       1      --     --                16,266 16,266
   Low . . . . . . . . . . . . . . . . . . . .       18        *      *       1       *     19
   Medium . . . . . . . . . . . . . . . . .            7       *      3       9                             185,404 a 185,423
   High . . . . . . . . . . . . . . . . . . .       $25     $*     $3      $10        *     19
Loans in accrual status . . . . . . .                                                                      201,670 201,689
Loans in nonaccrual status . . . .                                                 478    497
Total . . . . . . . . . . . . . . . . . . . . .                                                            362  859
                                                                                  $478   $516
                                                                                                           $ 202,032 $202,548 c

a. Includes PSW loans of $282 million ($236 million--June 30, 2024).
b. Represents the principal amounts not yet contractually due.
c. The total amounts of sovereign loans at amortized cost which contain principal past due amounts was $1,741 million

      ($1,717 million-June 30, 2024).
* Indicates amount less than $0.5 million.

                                                                         109
Table D4: Loans in nonaccrual status

In millions of U.S. dollars

                                                                                                                  Overdue amounts

                                                                           Average Accumulated Accumulated

                                      Nonaccrual                  Recorded recorded provision for provision for          Interest and
                                          since
Borrower                                                          investment investment debt relief loan losses a Principal Charges

Eritrea . . . . . . . . . . . . . . . . . . . . March 2012            429      417       287                  15  167              45

Zimbabwe . . . . . . . . . . . . . . . . October 2000                 453      440              --       227      376              77

Total--June 30, 2025 . . . . . . . . . . . . . . . . . . . . . .  $882         $857      $287            $242 $543       $122

Total--June 30, 2024 . . . . . . . . . . . . . . . . . . . . . .  $859         $866      $270            $233 $497       $112

a. Loan loss provisions are determined after taking into account accumulated provision for debt relief.

During the fiscal year ended June 30, 2025, no sovereign loans were placed in nonaccrual status. On May 12,
2025, the Syrian Arab Republic, with the assistance of two countries, cleared all of its overdue principal and
charges due to IDA of $14 million and $1 million respectively, and was subsequently removed from nonaccrual
status.

Service charge revenue not recognized as a result of loans being in nonaccrual status was $6 million for each of
the fiscal years ended June 30, 2025, June 30, 2024, and June 30, 2023.

Service charge revenue recognized on loans in nonaccrual status upon receipt of payment was less than $1
million for each of the fiscal years ended June 30, 2025 and June 30, 2024 ($1 million  fiscal year ended
June 30, 2023).

IDA considers the signature date of a loan as the best indicator of the decision point in the origination process,
rather than the disbursement date. The table below discloses the balances of IDA's loans outstanding, classified
by the year the loan agreement was signed.

Table D5: Loans outstanding-vintage disclosure

In millions of U.S. dollars

                                                                               June 30, 2025

                                                                                                                         Loans

                                                 Fiscal Year of origination                         CAT DDOs CAT DDOs Outstanding
                                            2024 2023 2022 2021
                                                                                                    disbursed Converted as of

                                                                                         Prior      and           to Term June 30,
                                                                                         Years
Risk Class                            2025                                                          revolving Loans      2025

Low . . . . . . . . . . . . . . . . . . $ -- $ -- $ -- $ -- $ -- $ --                               $--           $--    $--
                                                                                                       --            --     14,367
Medium . . . . . . . . . . . . . . .  31 54                       83 112 397 13,690
                                                                                                     184           493    212,638
High . . . . . . . . . . . . . . . . . . 10,691 8,477 14,037 12,533 16,223 150,000

Loans in accrual status . . . . . 10,722 8,531 14,120 12,645 16,620 163,690                              184      493 227,005

Loans in nonaccrual status . .        ----                        --       --        --  882             --          --        882

Total . . . . . . . . . . . . . . . . . . . $10,722 $8,531 $14,120 $12,645 $16,620 $164,572         $184          $493 $227,887

Current period gross

write-offs a . . . . . . . . . . . . . $ -- $ -- $ -- $ -- $ -- $ 12                                     n.a      n.a $ 12

                                                                      110
Table D5.1:

In millions of U.S. dollars

                                                      June 30, 2024

                                                Fiscal Year of origination                    CAT DDOs CAT DDOs Loans
                                           2023 2022 2021 2020
                                                                                              disbursed Converted Outstanding

                                                                            Prior             and       to Term as of June 30,
                                                                            Years
Risk Class                   2024                                                             revolving Loans      2024

Low . . . . . . . . . . . . . . . . . . . $ -- $ -- $ -- $ -- $ -- $ --                       $--       $--        $--
                                                                                                 --        --         16,266
Medium . . . . . . . . . . . . . . . . 56  83 111 393 542 15,081                               101       334
                                                                                                                    185,423
High . . . . . . . . . . . . . . . . . . 5,670 10,661 9,487 13,294 10,279 135,597

Loans in accrual status . . . . . . 5,726 10,744 9,598 13,687 10,821 150,678                       101  334        201,689

Loans in nonaccrual status . . . --        ----  --   --                    859                    --          --        859

Total . . . . . . . . . . . . . . . . . . . . $5,726 $10,744 $9,598 $13,687 $10,821 $151,537  $101      $334 $202,548

Fiscal year 2024 gross

write-offs a . . . . . . . . . . . . . $ -- $ -- $ -- $ -- $ -- $ 104                              n.a  n.a $ 104

a. Relate to HIPC/MDRI.

The Catastrophe Deferred Draw-Down Option (CAT-DDO) promotes countries' resilience to disasters and
expands the range of IDA's crisis instruments. It is a contingent credit line that provides immediate liquidity to
countries in the aftermath of a catastrophe. The amount of CAT DDOs outstanding and revolving that was
converted to term loans during the fiscal year ended June 30, 2025 was $150 million (Nil --June 30, 2024).

Accumulated Provision for Losses on Loans and Other Exposures

Management determines the appropriate level of the accumulated provisions for losses, which reflects the
expected losses inherent in IDA's exposures. Management reassesses the adequacy of accumulated provision on
a quarterly basis and adjustments to the accumulated provision are recorded as a charge to or release of provision
in the Statements of Income.

The accumulated provision for HIPC Debt Initiative and MDRI was recorded at the inception of this initiative
and is based on a quantitative and qualitative analyses of various factors, including estimates of Decision Point
and Completion Point dates. These factors are reviewed periodically as part of the reassessment of the adequacy
of the accumulated provision for loan losses. Accumulated provisions are reduced as qualifying debt service
becomes due and is forgiven under the HIPC Debt Initiative.

When the country reaches HIPC Completion Point, it becomes eligible for MDRI debt relief which is
characterized by the write-off of eligible loans. This write-off occurs at the beginning of the quarterly period
following the date on which the country reaches Completion Point. MDRI provision is reduced by the amount of
the eligible loans written off.

                                                 111
Changes to the accumulated provision for losses on loans and other exposures are summarized below:

Table D6: Accumulated provisions

In millions of U.S. dollars

                                                                                                              June 30, 2025

                                                                                                                    Debt relief

                                                                                           Loans        Loan        under

                                                                                           outstanding commitments HIPC/MDRI Other a      Total

Accumulated provision, beginning of the fiscal year . . .                                  $ 3,534      $ 1,316     $ 531        $ 240 $  5,621
Provision, net--charge (release) . . . . . . . . . . . . . . . . . . . . .                      431            (2)     (57)         (14)    358
Loans written off under HIPC/MDRI . . . . . . . . . . . . . . . . .                              --           --       (12)          --     (12)
Guarantee claims b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 --           --        --          (33)    (33)
Translation adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  172           66        12             6    256

Accumulated provision, end of the fiscal year . . . . . . . . $ 4,137                                   $ 1,380     $ 474 $ 199 $ 6,190

Including accumulated provision for losses on:                                             $ 3,895                  $ 187                 $ 4,082
   Loans in accrual status . . . . . . . . . . . . . . . . . . . . . . . . . .                  242                    287                      529
   Loans in nonaccrual status . . . . . . . . . . . . . . . . . . . . . . .
                                                                                           $ 4,137                  $ 474                 $ 4,611
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Loans:                                                                                                                                    $227,005
   Loans in accrual status . . . . . . . . . . . . . . . . . . . . . . . . . .                                                                  882
   Loans in nonaccrual status . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                          $227,887
Loans outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Table D6.1:

In millions of U.S. dollars

                                                                                                              June 30, 2024

                                                                                                                    Debt relief

                                                                                              Loans     Loan        under
                                                                                           outstanding
                                                                                                        commitments HIPC/MDRI    Other a  Total

Accumulated provision, beginning of the fiscal                                             $3,325       $1,320      $ 668        $198 $   5,511
   year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       252            12        (31)         42      275
                                                                                                --           --                     --     (104)
Provision, net--charge (release) . . . . . . . . . . . . . . . . . . . .                       (43)         (16)     (104)          --      (61)
Loans written off under HIPC/MDRI . . . . . . . . . . . . . . . .                                                       (2)
Translation adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . .

Accumulated provision, end of the fiscal year . . . . . . .                                $3,534       $1,316      $ 531 $240 $ 5,621

Including accumulated provision for losses on:                                             $3,301                   $ 261                 $ 3,562
   Loans in accrual status . . . . . . . . . . . . . . . . . . . . . . . . .                  233                     270                         503
   Loans in nonaccrual status . . . . . . . . . . . . . . . . . . . . . .
                                                                                           $3,534                   $ 531                 $ 4,065
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Loans:                                                                                                                                    $ 201,689
   Loans in accrual status . . . . . . . . . . . . . . . . . . . . . . . . .                                                                      859
   Loans in nonaccrual status . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                          $ 202,548
Loans outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

a. These amounts primarily relate to outstanding guarantees and include exposures under PSW.
b. Represents settlements of guarantee claims made in connection with the PSW MIGA Guarantee Facility.

                                                                                           112
                                                                            Reported as Follows

                                                            Balance Sheets                  Statements of Income

Accumulated Provision for Losses on:                        Accumulated provision for loan  Provision for losses on loans and
Loans outstanding . . . . . . . . . . . . . . . . . . .        losses                          other exposures, release (charge)

Debt Relief under HIPC/MDRI . . . . . . . .                 Accumulated provision for loan  Provision for losses on loans and
                                                               losses                          other exposures, release (charge)
Loan commitments and Other
   Exposures . . . . . . . . . . . . . . . . . . . . . . .  Other assets/ liabilities       Provision for losses on loans and other
                                                                                               exposures, release (charge)

The accumulated provision for losses on loan and other exposures as of June 30, 2025, was $6,190 million,
compared to $5,621 million as of June 30, 2024. The increase was primarily due to the overall increase in
exposure and the impact of rating changes for the fiscal year ended June 30, 2025.

Loans to be written off under MDRI

During the fiscal year ended June 30, 2025, no loans eligible for debt relief under the MDRI were written off.

During the fiscal year ended June 30, 2024, loans eligible for debt relief under the MDRI totaling $94 million
were written off under the MDRI as a result of Somalia reaching the Completion Point under the HIPC debt relief
initiative on December 13, 2023.

Guarantees Provided

Guarantees of $2,822 million were outstanding as of June 30, 2025 ($2,787 million--June 30, 2024). This
amount includes $1,173 million relating to the PSW ($1,169 million--June 30, 2024). The outstanding
guarantees represents the maximum potential undiscounted future payments that IDA could be required to make
under these guarantees, and are not included on the Balance Sheets. The guarantees issued by IDA have original
maturities ranging between 2 and 22 years and expire in decreasing amounts through 2044.

As of June 30, 2025, liabilities related to IDA's obligations under guarantees provided include the obligation to
stand ready of $132 million ($141 million--June 30, 2024), and the accumulated provision for guarantee losses
of $174 million ($220 million--June 30, 2024). These have been included in Other liabilities--Accounts payable
and miscellaneous liabilities on the Balance Sheets.

During the fiscal year ended June 30, 2025, $212 million of guarantees provided by IDA to sovereign or sub-
sovereign borrowers were called ($100 million -- fiscal year ended June 30, 2024). A total of $362 million is
included in Loans Outstanding on the Balance Sheet as of June 30, 2025, following payments by IDA and
pursuant to the terms of the related indemnity agreement between IDA and the borrower and the reimbursement
terms agreed with the borrower.

During the fiscal year ended June 30, 2025, less than $1 million of IDA-PSW Blended Finance Facility
guarantees pursuant to the risk-sharing agreement between IDA and IFC were called ($1 million-- fiscal year
ended June 30, 2024). During the same period, $33 million of guarantees under the PSW MIGA guarantee
facility agreement between IDA and MIGA were called (nil -- fiscal year ended June 30, 2024).

Concentration Risk

Loan revenue comprises service charges, interest and commitment charges, net of waivers. For the fiscal year
ended June 30, 2025, loan revenue of $303 million from India was in excess of 10% of total loan revenue.

                                                            113
The following table presents IDA's loans outstanding and associated loan revenue by geographic region:

Table D7: Loan revenue and outstanding loan balances by geographic region

In millions of U.S. dollars                                                                                         As of and for the fiscal year ended

Region                                                                                                        June 30, 2025       June 30, 2024
   South Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Eastern and Southern Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                Loan     Loans      Loan                   Loans
   Western and Central Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   East Asia and Pacific . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          Revenue a Outstanding Revenue a Outstanding
   Europe and Central Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Latin America and the Caribbean . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    $ 938    $ 65,469   $ 916    $ 62,724
   Middle East and North Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    668      67,220     597      59,083
   Others b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      687      55,777     587      47,662
   Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     240      18,165     244      17,884
                                                                                                                 381      14,942     201       9,269
                                                                                                                   73      4,074       66      3,683
                                                                                                                   18      1,958       17      2,007
                                                                                                                   24        282       18        236

                                                                                                              $3,029 $227,887 $2,646 $202,548

a. Excludes $15 million of interest rate swap income from loan-related derivatives for the fiscal year ended June 30, 2025
      ($19 million of interest rate swap income--fiscal year ended June 30, 2024). Includes net commitment charges of $23
      million for the fiscal year ended June 30, 2025 ($26 million  fiscal year ended June 30, 2024).

b. Represents loans under the PSW.

NOTE E--BORROWINGS

IDA's borrowings comprise market borrowings (carried at amortized cost or fair value) and concessional partner
loans made by IDA members (carried at amortized cost).

CPL are unsecured and unsubordinated fixed rate debt in SDR component currencies. IDA may prepay some or
the entire outstanding amounts without penalty. As of June 30, 2025, these borrowings have original contractual
maturities between 25 and 50 years, with the final maturity in 2075. This does not include the proceeds received
under the grant component of the CPL, which is included in equity.

Market borrowings are unsecured and unsubordinated debt issued in a variety of currencies, primarily at fixed
rates. Some of these instruments are callable. IDA has elected the fair value option for certain instruments.
Overall market borrowings have original maturities that range from 30 days to 30 years, with the final maturity in
2053.

IDA uses derivative contracts to manage the currency risk and the interest rate risk in the market borrowings
carried at fair value. For example, IDA may enter into derivative transactions to convert fixed rate bonds into
floating rate instruments. For details regarding the derivatives used, see Note F-- Derivative Instruments. After
the effect of these derivatives, the borrowing portfolio carried variable interest rates with a weighted average cost
of 4.27% as of June 30, 2025 (5.27% as of June 30, 2024).

As of June 30, 2025, and June 30, 2024, the instruments in IDA's borrowing portfolio measured at fair value
were classified as Level 2 within the fair value hierarchy.

114
A summary of IDA's borrowings are as follows (for details on principal due upon maturity, see Note J-- Fair
Value Disclosures):

Table E1: Market borrowings and borrowing-related derivatives, at fair value

In millions of U.S. dollars

                                                                                                                                                   June 30, 2025 June 30, 2024

Market borrowings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              $45,154        $26,425
Currency swaps, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 123            488
Interest rate swaps, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                883
                                                                                                                                                                     1,617

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $46,160        $28,530

For the fiscal year ended June 30, 2025, Borrowing expenses, net in the Statements of Income was $2,292
million ($1,616 million--fiscal year ended June 30, 2024, and $957 million--fiscal year ended June 30, 2023).
This includes $731 million of interest expense, net related to derivatives associated with the Borrowing portfolio
(interest expense, net of $816 million-- fiscal year ended June 30, 2024, and $477 million--fiscal year ended
June 30, 2023).

Table E2: Market borrowings outstanding, at amortized cost

In millions of U.S dollars

                                                                                                       Principal at face

                                                                                                       value               Net unamortized discount Total

June 30, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    $18,173                                               $(46) $18,127
June 30, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    $11,512                                               $(18) $11,494

Table E3: Concessional partner loans outstanding, at amortized cost

In millions of U.S dollars                                                                             Principal at face   Net unamortized discount Total
                                                                                                             value
June 30, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                           $(1,535) $7,551
June 30, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              $9,086                       $(1,482) $7,004
                                                                                                                   $8,486

The following table provides a summary of the interest rate characteristics of IDA's borrowings:

Table E4: Borrowings-Interest rate composition before derivatives
In millions of U.S. dollars

Fixed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  June 30, 2025  WAC a (%)                      June 30, 2024  WAC a (%)
Variable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                     2.63%                                         2.05%
                                                                                                        $71,176        4.88%                          $46,383        5.04%
Borrowings b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .             597       2.64%                               284       2.07%
Fair Value Adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                        $71,773                                       $46,667
Total Borrowings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                (941)                                       (1,744)

                                                                                                        $70,832                                       $44,923

a. WAC refers to weighted average borrowing cost as of the reporting date.
b. At amortized cost.

                             115
The currency composition of debt in IDA's borrowings before derivatives was as follows:

Table E5: Borrowings-Currency composition before derivatives

                                                                                                                                                   June 30, 2025 June 30, 2024

Euro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   37%              35%
U.S. dollar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Pound sterling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         47               38
Japanese yen . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Others . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   10               18

                                                                                                                                                   4                6

                                                                                                                                                   2                3

                                                                                                                                                   100%             100%

The maturity structure of IDA's borrowings outstanding was as follows:

Table E6: Borrowings-Maturity structure

In millions of U.S. dollars

Period                                                                                                                                             June 30, 2025    June 30, 2024
                                                                                                                                                          $12,894          $ 5,478
Less than 1 year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Between . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                2,948            3,933
                                                                                                                                                             1,508            2,681
   1--2 years . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                10,327             1,341
   2--3 years . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  8,605            9,827
   3--4 years . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                36,131           23,164
   4--5 years . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               $72,413          $46,424
Thereafter . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

a. As of June 30, 2025, total includes net unamortized discount of $1,535 million ($1,482 million--June 30, 2024) for CPL
      and $46 million ($18 million--June 30, 2024) for market borrowings at amortized cost.

NOTE F--DERIVATIVE INSTRUMENTS

IDA uses derivative instruments in its investment, loan and borrowing portfolios, for asset-liability management
purposes, and to assist clients in managing risks.

                                         116
The following table summarizes IDA's use of derivatives in its various financial portfolios.

Table F1: Use of derivatives in various financial portfolios

Portfolio                                                 Derivative instruments used              Purpose/Risk being managed

Risk management purposes:                                                                      Manage currency and interest rate
                                                                                                  risks
Investments--Trading . . . . . . . . . . . . .            Interest rate swaps, forward
                                                             contracts, currency swaps,        Manage currency and interest rate
                                                             options, swaptions, futures          risks
                                                             contracts, and TBA securities
                                                                                               Manage interest rate risk
Other asset-liability management . . . . .                Currency forward contracts,          Manage currency and interest rate
                                                             currency swaps and interest rate
                                                             swaps                                risks

Loans . . . . . . . . . . . . . . . . . . . . . . . . . . Interest rate swaps

Borrowings . . . . . . . . . . . . . . . . . . . . . . Interest rate swaps and currency
                                                        swaps

Other purposes:                                           Interest rate swaps and currency     Assist clients in managing risks
   Client operations . . . . . . . . . . . . . . . . . .     swaps

The derivatives in the related tables of Note F are presented on a net basis by instrument. A reconciliation to the
Balance Sheet presentation is shown in Table F2.

Offsetting assets and liabilities

IDA enters into International Swaps and Derivatives Association, Inc. (ISDA) master netting agreements with
substantially all of its derivative counterparties. These legally enforceable master netting agreements give IDA
the right to liquidate securities held as collateral and to offset receivables and payables with the same
counterparty, in the event of default by the counterparty.

The following tables summarize the gross and net derivative positions by instrument type. Instruments that are in
a net asset position are included in the Derivative Assets columns and instruments that are in a net liability
position are included in the Derivative Liabilities columns. The effects of the master netting agreements are
applied on an aggregate basis to the total derivative asset and liability positions and are presented net of any cash
collateral received on the Balance Sheets. The net derivative asset positions in the tables below have been further
reduced by any securities received as collateral to disclose IDA's net exposure on its derivative asset positions.

                                                          117
Table F2: Derivatives assets and liabilities before and after netting adjustments

In millions of U.S. dollars

                                                                                                                   June 30, 2025             June 30, 2024

                                                                                                                   Derivative Derivative Derivative Derivative
                                                                                                                     Assets Liabilities Assets Liabilities

Interest rate swaps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          $3,035          $1,212    $2,250             $1,694
Currency swaps a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              266             810       767                665
Other b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       --              --         3                 --

Gross Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      $3,301          $2,022    $3,020             $2,359

Less:                                                                                                               1,620 c         1,526 d   1,764 c            1,692 d
   Amounts subject to legally enforceable master netting agreements . . .                                           1,266          $ 496        893             $ 667
   Cash collateral received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                   $ 415                     $ 363
Net derivative positions on the Balance Sheet . . . . . . . . . . . . . . . . . . . .

Less:

Securities collateral received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                               33            --

Net derivative exposure after collateral . . . . . . . . . . . . . . . . . . . . . . . . . $ 382                                             $ 363

a. Includes forward contracts.
b. These include swaptions, exchange traded options, futures contracts and TBA securities.
c. Includes $108 million Credit Valuation Adjustment (CVA) ($92 million-June 30, 2024).
d. Includes $14 million Debit Valuation Adjustment (DVA) ($20 million-June 30, 2024).

The following tables provide information about the credit risk exposures at fair value of IDA's derivative
instruments by portfolio, before the effects of master netting arrangements and collateral:

Table F3: Credit risk exposure of the derivative instruments

In millions of U.S. dollars

                                                                                                                                Interest    June 30, 2025       Total
                                                                                                                               rate swaps
                                                                                                                                             Currency swaps
                                                                                                                                            (including forward

                                                                                                                                                 contracts)

Investments--Trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 $8        $ 22               $ 30
Asset-liability management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    2,595       166              2,761
Borrowings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              321         69               390
Other a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         111          9               120

Total Exposure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 $3,035    $ 266 $3,301

Table F3.1

In millions of U.S. dollars                                                                                                                 June 30, 2024
.
                                                                                                                                             Currency swaps
                                                                                                                                Interest    (including forward  Total
                                                                                                                               rate swaps
                                                                                                                                                 contracts)

Investments--Trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 $2        $ 232              $ 234
Asset-liability management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    2,063       519              2,582
Borrowings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                74        15                 89
Other a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         111          1               112

Total Exposure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 $2,250    $ 767 $3,017

a. Includes derivatives related to loans and PSW, and excludes exchange traded instruments as they are generally subject
      to daily margin requirements and are deemed to have no material credit risk.

                             118
The volume of derivative contracts is measured using the U.S. dollar equivalent notional balance. The notional
balance represents the face value or reference value on which the calculations of payments on the derivative
instrument are determined. As of June 30, 2025, the notional amounts of IDA's derivative contracts outstanding
were as follows: interest rate swaps $52,538 million ($39,153 million as of June 30, 2024) and currency swaps
$22,683 million ($22,792 million as of June 30, 2024). There were $352 million of long positions and $860
million of short positions pertaining to other derivatives as of June 30, 2025 ($566 million and $74 million,
respectively as of June 30, 2024).

Collateral

IDA is not required to post collateral under its derivative agreements as long as it maintains a triple-A credit
rating. The aggregate fair value of all derivative instruments with credit-risk related contingent features that are
in a liability position as of June 30, 2025, was $439 million ($593 million--June 30, 2024). As of June 30, 2025,
IDA was not required to post any collateral in accordance with the relevant agreements.

If the credit-risk related contingent features underlying these agreements were triggered to the extent that IDA
would be required to post collateral as of June 30, 2025, the amount of collateral that would need to be posted
would be less than $1 million ($30 million--June 30, 2024). Subsequent triggers of contingent features would
require posting of additional collateral, up to a maximum of $439 million as of June 30, 2025 ($593
million--June 30, 2024).

The gains or losses on the non-trading derivatives, by instrument type and their location in the Statements of
Income are as follows:

Table F4: Unrealized mark-to-market gains or losses on non-trading derivatives
In millions of U.S. dollars

Type of instrument a                                                                               Reported as             Fiscal Year Ended June 30,
                                                                                                                            2025 2024 2023
Interest rate swaps . . . . . . . . . . . . . . . . . . . . . . . . . . . .        Unrealized mark-to-market gains
Currency forward contracts and currency swaps . . . . .                               (losses) on non-trading portfolios,  $1,234 $ 912 $(252)
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     net
                                                                                                                           148  178 (182)

                                                                                                                           $1,382 $1,090 $(434)

a. For disclosures related to derivatives in trading portfolio, see Table F5.

The majority of the instruments in IDA's investment portfolio are held for trading purposes. Within the trading
portfolio, IDA holds highly rated fixed income instruments as well as derivatives. The trading portfolio is
primarily held to ensure the availability of funds to meet future cash flow requirements and for liquidity
management purposes. The following table provides information on the amount of gains or losses on IDA's
investment trading portfolio (derivative and non-derivative instruments), and their location in the Statements of
Income:

Table F5: Unrealized mark-to-market gains or losses on investment trading portfolio

In millions of U.S. dollars

Type of instrument                                                                      Reported as                        Fiscal Year Ended June 30,
                                                                                                                            2025 2024 2023
Fixed income (including related derivatives) a . . . . Unrealized mark-to-market gains
                                                                     (losses) on Investment-Trading                         $340 $316 $(29)
                                                                     portfolios, net

a. Includes unrealized mark-to-market gains/losses from IDA's share of Post-Employment Benefit Plan (PEBP) and Post-
      Retirement Contribution Reserve Fund (PCRF) holdings.

                                                                                   119
NOTE G--DEVELOPMENT GRANTS
A summary of grant activities is presented below:

Table G1: Grant activities                                                                                                                      Fiscal Year Ended June 30,
In millions of U.S dollars                                                                                                                       2025 2024 2023

Grants approved . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   $8,256   $8,117         $7,263
Grant disbursements                                                                                                                              8,332    7,191          7,170
                                                                                                                                                          1,142          1,385
   Unconditional grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          603    6,049          5,785
   Conditional grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      7,729    5,291          3,946
Grant expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   7,200

As of June 30, 2025, the cumulative amount of conditional grants approved but not yet expensed, since all
conditions have not been met, was $30,582 million ($29,135 million--June 30, 2024).

NOTE H--TRANSACTIONS WITH AFFILIATED ORGANIZATIONS

IDA transacts with affiliated organizations as a recipient of transfers and grants, administrative, derivative and
investment intermediation services and through cost sharing of IBRD's sponsored pension and other
postretirement benefit plans.

The total amounts receivable from (payable to) affiliated organizations is comprised of the following:

Table H1: IDA's receivables and payables with affiliated organizations

In millions of U.S. dollars

                                                                                                 June 30, 2025                                           June 30, 2024

                                                                                        IBRD     IFC            Total                           IBRD     IFC            Total

Administrative Services . . . . . . . . . . . . . . . . . . . . . . . . . . .           $ (631)  $--            $ (631)                         $ (279)  $--            $ (279)
Derivative (liabilities)/assets, net . . . . . . . . . . . . . . . . . . . .                 --    (70)             (70)                             --    (94)             (94)
PSW-Blended Finance Facility . . . . . . . . . . . . . . . . . . . . . .                     --   124              124                               --   102              102
Investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        --   115              115                               --   171              171
PCRF a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     721      --             721                             489      --             489
Pension and Other Postretirement Benefits . . . . . . . . . . . .                                   --                                             906      --             906
                                                                                         1,086                   1,086

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,176 $169 $1,345                                    $1,116 $179 $1,295

a. Receivable from IBRD for IDA's share of investments associated with PCRF, which is a fund established to stabilize
      contributions made to the pension plans.

The receivables from (payables to) these affiliated organizations are reported on the Balance Sheets as follows:

Receivables / Payables related to:                                                           Reported as:

Payable for administrative services                                                          Payable to affiliated organization
Net receivables (payables) for derivative transactions                                       Derivative assets/liabilities, net
Receivable for PSW  Blended Finance Facility                                                Other Assets
Receivable for non-trading investments                                                       Investments
Receivable for PCRF                                                                          Receivable from affiliated organization
Receivable for pension and other postretirement benefits                                     Receivable from affiliated organization

                                                                                        120
Transfers and Grants Received

Cumulative transfers and grants made to IDA as of June 30, 2025 were $21,399 million ($20,884 million--
June 30, 2024). Details by transferor are as follows:

Table H2: Transfers and grants

In millions of U.S dollars                                                                                                                                         Cumulative transfers
Transfers                                                                                                                                                                   as of

                                                                                                                                                                       June 30, 2025

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        $21,399
Of which transfers from:
                                                                                                                                                                          17,284
   IBRD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               3,885
   IFC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Nonaffiliated organizations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                            230

On September 18, 2024, IBRD's Board of Governors approved a transfer of $515 million to IDA. This transfer
was received on September 30, 2024.

Administrative Services

The payable to IBRD represents IDA's share of joint administrative expenses including contributions to special
programs, net of other revenue jointly earned. The allocation of expenses is based upon an agreed cost sharing
formula, and amounts are settled quarterly.

For the fiscal year ended June 30, 2025, IDA's share of joint administrative expenses and contributions to special
programs totaled $1,989 million ($1,750 million--fiscal year ended June 30, 2024 and $1,744 million--fiscal
year ended June 30, 2023). This amount excludes Bank-executed activities for trust funds expenses of $768
million ($705 million--fiscal year ended June 30, 2024 and $686 million--fiscal year ended June 30, 2023).

Other revenue

IDA's share of other revenue jointly earned with IBRD during the fiscal year ended June 30, 2025, totaled $330
million ($326 million--fiscal year ended June 30, 2024 and $280 million--fiscal year ended June 30, 2023). This
amount excludes Bank-executed activities for trust fund revenue of $768 million ($705 million --fiscal year
ended June 30, 2024 and $686 million--fiscal year ended June 30, 2023).

The amount of fee revenue associated with services provided to other affiliated organizations is included in Other
revenue on the Statements of Income, as follows:

Table H3: Fee revenue from affiliated organizations

In millions of U.S. dollars                                                                                                                  Fiscal Year Ended June 30,
                                                                                                                                              2025 2024 2023
Fees charged to IFC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Fees charged to MIGA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     $106 $99 $93

                                                                                                                                                                   7  7  6

Derivative transactions

Under the Local Currency Facility of the PSW, IDA enters into derivative transactions with IFC to support local
currency loan transactions where currency hedging capabilities are limited or unavailable.

                                121
Private Sector Window

The PSW was created under the Eighteenth Replenishment of IDA's Resources (IDA18) to mobilize private
sector investment in IDA-only countries and IDA-eligible Fragile and Conflict-affected Situations. The PSW
continued under IDA's Twentieth Replenishment of Resources (IDA20), which commenced on July 1, 2022,
with an initial allocation of $2.5 billion. In December 2024, the Board approved an increase of the IDA20
allocation to the PSW by $234 million, corresponding to the release of the PSW resources allocated in the
previous replenishment cycles, bringing the total allocation to $2.7 billion. Under the fee arrangement for the
PSW, IDA receives fee income for transactions executed under this Window and reimburses IFC and MIGA for
the related costs incurred in administering these transactions. As of June 30, 2025, the PSW exposures
comprising mainly of MIGA Guarantee Facility and IFC Blended Finance Facility, were $1,579 million ($1,507
million--June 30, 2024), and the related accumulated provision was $179 million ($212 million--June 30,
2024). In addition, the signed loan commitments relating to PSW amounted to $149 million as of June 30, 2025
($168 million--June 30, 2024), and the related accumulated provision was $4 million ($13 million--June 30,
2024).

Investments  Non-trading

During the fiscal year ended June 30, 2015, IDA purchased a debt security issued by IFC for a principal amount
of $1,179 million, amortizing over a period of 25 years. The investment carries a fixed interest rate of 1.84% and
has a weighted average maturity of 4 years. As of June 30, 2025, the principal amount due on the debt security
was $124 million ($185 million--June 30, 2024), and it had a fair value of $115 million ($171 million--June 30,
2024). The investment is reported under Investments in the Balance Sheets. During the fiscal year ended June 30,
2025, IDA recognized interest income of $3 million from this investment ($4 million--fiscal year ended June 30,
2024 and $6 million--fiscal year ended June 30, 2023).

Pension and Other Post-Retirement Benefits

The staff of IBRD perform functions for both IBRD and IDA, but all staff compensation is paid directly by
IBRD. Accordingly, a portion of IBRD's staff and associated administrative costs is allocated to IDA based on an
agreed cost sharing ratio using various indicators. The methodology for computing this share ratio is approved by
the Executive Directors for both institutions.

IBRD, along with IFC and MIGA, sponsor a defined benefit Staff Retirement Plan and Trust (SRP), the Retired
Staff Benefits Plan and Trust (RSBP) and the Post-Employment Benefits Plan (PEBP) that cover all of their staff
members.

The SRP provides regular defined pension benefits and also includes a cash balance component. The RSBP
provides certain health and life insurance benefits to eligible retirees. The PEBP provides certain pension benefits
administered outside the SRP.

June 30 is used as the measurement date for these pension and other postretirement benefit plans. All costs, assets
and liabilities associated with these plans are allocated between IBRD, IFC, and MIGA based upon their
employees' respective participation in the plans.

While IDA is not a participating entity to these benefit plans, IDA shares in the costs and reimburses IBRD for
its proportionate share of any contributions made to these plans by IBRD based on an agreed cost sharing ratio.

During the fiscal year ended June 30, 2025, IDA's share of IBRD's costs relating to all three plans totaled
$128 million ($98 million--fiscal year ended June 30, 2024 and $163 million--fiscal year ended June 30, 2023).

The receivable from IBRD represents IDA's net share of prepaid costs for pension and other postretirement
benefit plans and PEBP assets. These will be realized over the lives of the plan participants.

The cost of any potential future liability arising from these plans would be shared by IBRD and IDA using the
applicable cost sharing ratio. As of June 30, 2025, the SRP and the RSBP were overfunded by $5,845 million and

                                                                  122
$2,196 million, respectively. The PEBP, after reflecting IBRD and IDA's share of assets which are included in
IBRD's investment portfolio of $2,359 million, was overfunded by $289 million.

NOTE I--ACCUMULATED OTHER COMPREHENSIVE LOSS

Comprehensive income consists of net income (loss) and other gains or losses affecting equity that, under U.S.
GAAP, are excluded from net income (loss). For IDA, other comprehensive income (loss) is comprised of
currency translation adjustments on functional currencies and DVA on fair value option elected liabilities. These
items are presented in the Statements of Comprehensive Income.

The following table presents the changes in AOCL balances:

Table I1: Changes in AOCL

In millions of U.S dollars

                                                                                                                                                 2025   Balance,
                                                                                                                                                       end of the
                                                                                                                                Balance,               fiscal year
                                                                                                                            beginning of the Changes

                                                                                                                               fiscal year in AOCI

Currency translation adjustments on functional currencies . . . . . . . . . . . . . . . . . . . .                           $(10,567)   $7,447         $(3,120)
DVA on Fair Value option elected liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          (25)       33               8

Total AOCI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $(10,592)   $7,480 $(3,112)

Table I1.1

In millions of U.S dollars

                                                                                                                                                 2024   Balance,
                                                                                                                                                       end of the
                                                                                                                                Balance,               fiscal year
                                                                                                                            beginning of the Changes

                                                                                                                               fiscal year in AOCI

Currency translation adjustments on functional currencies . . . . . . . . . . . . . . . . . . . .                           $(8,915)    $(1,652) $(10,567)
DVA on Fair Value option elected liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         (31)
                                                                                                                                        6              (25)

Total AOCI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $(8,946)    $(1,646) $(10,592)

Table I1.2

In millions of U.S dollars

                                                                                                                                                 2023   Balance,
                                                                                                                                                       end of the
                                                                                                                                Balance,               fiscal year
                                                                                                                            beginning of the Changes

                                                                                                                               fiscal year in AOCI

Currency translation adjustments on functional currencies . . . . . . . . . . . . . . . . . . . .                           $(9,139)    $224           $(8,915)
DVA on Fair Value option elected liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         (13)     (18)              (31)

Total AOCI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $(9,152)    $206 $(8,946)

                            123
NOTE J--FAIR VALUE DISCLOSURES
Valuation Methods and Assumptions
As of June 30, 2025, and June 30, 2024, IDA had no financial assets or liabilities measured at fair value on a
nonrecurring basis.

Due from Banks
The carrying amount of unrestricted and restricted cash is considered a reasonable estimate of the fair value of
these positions.

Loans and Loan commitments
There were no loans carried at fair value as of June 30, 2025 and June 30, 2024. IDA's loans and loan
commitments would be classified as Level 3 within the fair value hierarchy.
Summarized below are the techniques applied in determining the fair values of IDA's financial instruments.

Investment securities
Where available, quoted market prices are used to determine the fair value of trading securities. For instruments for
which market quotations are not available, fair values are determined using model-based valuation techniques,
whether internally-generated or vendor-supplied, that include the standard discounted cash flow method using
observable market inputs such as yield curves, credit spreads, and constant prepayment spreads. Where applicable,
unobservable inputs such as conditional prepayment rates, probability of default, and loss severity are used.
Unless quoted prices are available, time deposits are reported at face value, which approximates fair value, as
they are short term in nature.

Securities purchased under resale agreements, securities sold under repurchase agreements, and securities
lent under securities lending agreements
These securities are of a short-term nature and are reported at face value, which approximates fair value.

Borrowings
The fair value of IDA's market borrowings at fair value is calculated using a discounted cash flow method which
relies on observable market inputs such as yield curves, foreign exchange rates, basis spreads and funding spreads.
As of June 30, 2025, and June 30, 2024, the fair value of borrowings measured at amortized cost would be
classified as Level 2 within the fair value hierarchy.

Derivative instruments
Derivative contracts include forward contracts, TBA securities, swaptions, options and futures contracts,
currency swaps and interest rate swaps. Where available, quoted market prices are used to determine the fair
value of trading securities. Examples include options and futures contracts.
For instruments for which market quotations are not available, fair values are determined using model- based
valuation techniques, whether internally-generated or vendor-supplied, that include the standard discounted cash
flow method using observable market inputs such as yield curves, foreign exchange rates, credit spreads, basis
spreads, funding spreads and constant prepayment spreads. Where applicable, unobservable inputs such as
constant prepayment rates, probability of default, and loss severity are used.

Valuation adjustments on fair value option elected liabilities
The DVA on fair value option elected liabilities (market borrowings carried at fair value) is measured by
revaluing each liability to determine the changes in fair value of that liability arising from changes in IDA's cost
of funding applicable to the relevant reference rates.

                                                                  124
The table below presents IDA's estimates of fair value of its financial assets and liabilities along with their
respective carrying amounts.

Table J1: Fair value and carrying amounts of financial assets and liabilities

In millions of U.S dollars                                                                             June 30, 2025                    June 30, 2024

Assets                                                                                                                  Fair                           Fair
   Due from banks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    Carrying Value Value           Carrying Value Value
   Investments (including securities purchased under resale
      agreements) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $ 1,215 $ 1,215                $ 586 $ 586
   Net loans outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Derivative assets, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     47,408    47,408               34,435    34,435
                                                                                               223,232   172,530              198,457   151,428
Liabilities
   Borrowings                                                                                       415       415                  363       363
      Market borrowings, at fair value . . . . . . . . . . . . . . . . . . . . . .
      Market borrowings, at amortized cost . . . . . . . . . . . . . . . . . .                 45,154    45,154               26,425    26,425
      Concessional partner loans, at amortized cost . . . . . . . . . . . .                    18,127    16,466               11,494     9,920
   Securities sold under repurchase agreements, securities lent                                 7,551     6,161                7,004     6,049
      under securities lending agreements, and payable for cash
      collateral received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    122       122                  71        71
   Derivative liabilities, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                               496       496                  667       667

As of June 30, 2025, IDA's signed loan commitments were $74.5 billion ($68.9 billion--June 30, 2024) and had
a fair value of $(15.3) billion ($(12.8) billion--June 30, 2024).

125
The following tables present IDA's fair value hierarchy for assets and liabilities measured at fair value on a
recurring basis.

Table J2: Fair value hierarchy of IDA's assets and liabilities

In millions of U.S. dollars                                                                              Fair Value Measurements on a Recurring Basis
                                                                                                                          As of June 30, 2025
Assets:
   Investments--Trading                                                                                  Level 1     Level 2     Level 3  Total
      Government, agency and corporate obligations . . . . . . . . . . . . .
      Time deposits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        $ 14,104    $ 12,325    $ -- $ 26,429
      ABS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        1,341      19,300
   Total Investments--Trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                        --          87  --       20,641
   Investments--Non-trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Total Investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            15,445      31,712   --                    87
   Securities purchased under resale agreements . . . . . . . . . . . . . . . .                                  --        115
   Derivative assets:                                                                                                            --       47,157
      Currency swaps and forward contracts . . . . . . . . . . . . . . . . . . .                         $ 15,445    $ 31,827
      Interest rate swaps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          $--         $ 136       --       115
      Other a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Gross Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     $--         $ 266       $ -- $ 47,272
                                                                                                                 --      3,035   $ -- $ 136
Liabilities:                                                                                                     --          --
   Market Borrowings, at fair value . . . . . . . . . . . . . . . . . . . . . . . . . .                                          $ -- $ 266
   Securities sold under repurchase agreements, securities lent under                                    $--         $ 3,301
      securities lending agreements, and payable for cash collateral                                                             --       3,035
      received b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Derivative liabilities:                                                                                                       --                    --
      Currency swaps and forward contracts . . . . . . . . . . . . . . . . . . .
      Interest rate swaps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                  $ -- $ 3,301
   Gross Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                         $ -- $ 45,154           $ -- $ 45,154

                                                                                                         $ -- $ 122              $ -- $ 122

                                                                                                         $ -- $ 810              $ -- $ 810

                                                                                                         --          1,212       --       1,212

                                                                                                         $ -- $ 2,022            $ -- $ 2,022

a. These relate to TBA Securities, swaptions, exchange traded options and futures contracts.
b. Excludes amount payable for cash collateral received of $1,266 million.

126
Table J2.1

In millions of U.S. dollars                                                                              Fair Value Measurements on a Recurring Basis
                                                                                                                          As of June 30, 2024
Assets:
   Investments--Trading                                                                                  Level 1    Level 2                   Level 3          Total
      Government and agency obligations . . . . . . . . . . . . . . . . . . . . .
      Time deposits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        $12,806    $ 6,574                   $--              $19,380
      ABS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       2,032    12,683
                                                                                                               --                             --               14,715
   Total Investments--Trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 14,838         111
   Investments--Non-trading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      --    19,368                   --               111

   Total Investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         $14,838         171                  --               34,206
   Securities purchased under resale agreements . . . . . . . . . . . . . . . .                          $--        $19,539
   Derivative assets:                                                                                               $ 58                      --               171
                                                                                                         $--
      Currency swaps and forward contracts . . . . . . . . . . . . . . . . . . .                               --   $ 767                     $--              $34,377
      Interest rate swaps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  3     2,250
      Other a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   --                  $--              $ 58
                                                                                                         $3
   Gross Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                $ 3,017                   $--              $ 767
Liabilities:                                                                                             $--
                                                                                                                    $26,425                   --               2,250
   Market Borrowings, at fair value . . . . . . . . . . . . . . . . . . . . . . . . . .
   Securities sold under repurchase agreements, securities lent under                                                                         --                      3

      securities lending agreements, and payable for cash collateral                                                                          $--              $ 3,020
      received b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
   Derivative liabilities: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                              $--              $26,425
      Currency swaps and currency forward contracts . . . . . . . . . . . .
      Interest rate swaps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          $--        $ 71                      $--              $ 71

   Gross Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     $--        $ 665                     $--              $ 665
                                                                                                               --      1,694
                                                                                                                                              --               1,694
                                                                                                         $--        $ 2,359
                                                                                                                                              $--              $ 2,359

a. These relate to TBA Securities, swaptions, exchange traded options and futures contracts.
b. Excludes amount payable for cash collateral received of $893 million.

Presented below is the difference between the aggregate fair value and aggregate contractual principal balance of
non-trading securities in the investment portfolio:

Table J3: Investment portfolio-Non-trading security                                                                                    Fair    Principal       Difference
In millions of U.S dollars                                                                                                             value  amount due
                                                                                                                                                                      $ (9)
June 30, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $115           $124            $(14)
June 30, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $171           $185

Presented below is the difference between the aggregate fair value and aggregate contractual principal balance of
market borrowings at fair value:

Table J4: Market Borrowings at fair value                                                                                                     Principal Due    Difference
                                                                                                                                              Upon Maturity
In millions of U.S. dollars                                                                                                                                       $ (905)
                                                                                                                                                      $46,059     $(1,461)
                                                                                                           Fair                                       $27,886
                                                                                                          Value

June 30, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $45,154
June 30, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $26,425

            127
During the fiscal year ended June 30, 2025, IDA recorded unrealized mark-to-market gains of $33 million
($6 million gains--fiscal year ended June 30, 2024) in Other Comprehensive Income, in relation to the changes
in its own credit (DVA) on fair value option elected liabilities.

As of June 30, 2025, IDA's Balance Sheets included a DVA of $8 million cumulative gains ($25 million
cumulative loss--June 30, 2024) in Accumulated other comprehensive loss, associated with the changes in
IDA's own credit for its market borrowings reported at fair value.

The following tables reflect the components of the unrealized mark-to-market gains or losses on IDA's trading
and non-trading portfolios, net (for details see Note F--Derivative Instruments).

Table J5: Unrealized mark-to-market gains (losses) on trading and non-trading portfolios, net

In millions of U.S. dollars

                                                                                                          Fiscal Year Ended June 30, 2025

                                                                                                          Unrealized gains (losses)

                                                                                           Realized gains excluding realized Unrealized gains

                                                                                                (losses)  amounts a                        (losses)

Investments, Trading, net . . . . . . . . . . . . . . . . . . . . . . . . . . . .               $(31)     $371                             $340

Non-trading portfolios, net

Asset-liability management b . . . . . . . . . . . . . . . . . . . . . . .                      --        484                              484

Other Non-trading portfolios

Investment portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                --        5                                5

Borrowings, including derivatives . . . . . . . . . . . . . . . . . . .                         --        (2)                              (2)c

Loan-related derivatives . . . . . . . . . . . . . . . . . . . . . . . . . . .                  1         (6)                              (5)

Other d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       --        (12)                             (12)

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       $1        $469                             $470

Table J5.1

In millions of U.S. dollars

                                                                                                          Fiscal Year Ended June 30, 2024

                                                                                                          Unrealized gains (losses)

                                                                                           Realized gains excluding realized Unrealized gains

                                                                                                (losses)  amounts a                        (losses)

Investments, Trading, net . . . . . . . . . . . . . . . . . . . . . . . . . . . .               $35       $281                             $316

Non-trading portfolios, net

Asset-liability management b . . . . . . . . . . . . . . . . . . . . . . .                      --        393                              393

Other Non-trading portfolios

Investment portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                --        4                                4

Borrowing portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 --        34                               34c

Loan-related derivatives . . . . . . . . . . . . . . . . . . . . . . . . . . .                  --        (2)                              (2)

Other d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       --        (24)                             (24)

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       $--       $405                             $405

                                                                                           128
Table J5.2

In millions of U.S. dollars

                                                                                                          Fiscal Year Ended June 30, 2023

                                                                                                          Unrealized gains (losses)

                                                                                           Realized gains excluding realized Unrealized gains

                                                                                                (losses)  amounts a                        (losses)

Investments, Trading, net . . . . . . . . . . . . . . . . . . . . . . . . . . . .               $ (254)   $225                             $ (29)

Non-trading portfolios, net

Asset-liability management b . . . . . . . . . . . . . . . . . . . . . . .                      --        143                              143

Other Non-trading portfolios

Investment portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                --        (5)                              (5)

Borrowing portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 --        --                               --c

Loan-related derivatives . . . . . . . . . . . . . . . . . . . . . . . . . . .                  --        33                               33

Other d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       (1)       (36)                             (37)

Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       $ (1)     $135                             $134

a. Adjusted to exclude amounts reclassified to realized gains (losses).
b. Includes mark-to-market gains (losses) on the Capital Value Protection program (CVP) portfolio and

       other Asset-liability management portfolios.
c. Includes $915 million of unrealized mark-to-market gains related to derivatives associated with

       borrowings for the fiscal year ended June 30, 2025 (unrealized mark-to-market gains of $723
       million--fiscal year ended June 30, 2024 and unrealized mark- to-market losses of $573 million--fiscal
       year ended June 30, 2023).
d. Represents mark-to-market gains (losses) on interest rate and currency swaps related to the PSW.

NOTE K--TRUST FUNDS ADMINISTRATION

IDA, alone or jointly with one or more of its affiliated organizations, administers on behalf of the donors,
including members, their agencies and other entities, funds restricted for specific uses in accordance with
administration agreements with the donors. Specified uses of the funds include, among others, co- financing of
IDA lending projects, debt reduction operations for IDA members, technical assistance for borrowers including
feasibility studies and project preparation, global and regional programs, and research and training programs.
These funds are held in trust by IDA and/or IBRD, and are held in a separate investment portfolio which is not
commingled with IDA and/or IBRD funds.

Trust fund execution may be carried out in one of two ways: recipient-executed or Bank-executed activities.

Recipient-executed activities for trust funds involve activities carried out by a recipient third-party executing
agency. IDA enters into agreements with and disburses funds to such recipients, who then exercise spending
authority to meet the objectives and comply with the terms stipulated in the agreements.

Bank-executed activities for trust funds involve execution of activities by IDA as described in relevant
administration agreements with donors, which define the terms and conditions for use of the funds. Spending
authority is exercised by IDA, under the terms of the administration agreements. The executing agency services
provided by IDA include, among others, activity preparation, analytical and advisory activities and project-
related activities, including procurement of goods and services.

                                                                                           129
The following table summarizes the expenses pertaining to Bank-executed activities for trust funds:

Table K1: Expenses for Bank-executed activities for trust funds                                                                       Fiscal Year Ended June 30,
In millions of U.S. dollars
                                                                                                                                      2025        2024  2023
Expenses for Bank-executed activities for trust funds . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                      $768        $705  $686

These amounts are included in Administrative expenses and the corresponding revenue is included in Revenue
from externally funded activities in the Statements of Income. Administrative expenses primarily relate to staff
cost, travel and consultant fees.

The following table summarizes undisbursed contributions made by third party donors to Bank-executed
activities for trust funds, recognized on the Balance Sheets:

Table K2: Undisbursed contributions made by third party donors to Bank-executed activities for trust
funds

In millions of U.S. dollars

                                                                                                                                      June 30, 2025 June 30, 2024

Bank-executed activities for trust funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                $734        $735

These amounts are included in Other Assets and the corresponding liabilities are included in Accounts payable
and miscellaneous liabilities on the Balance Sheets.

Revenues
IDA's revenues for the administration of trust fund operations were as follows:

Table K3: IDA's revenues for the administration of trust fund operations                                                              Fiscal Year Ended June 30,
In millions of U.S. dollars
                                                                                                                                      2025        2024  2023
Revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                      $88         $93   $57

These amounts are included in Revenue from externally funded activities in the Statements of Income.

Amounts collected from donor contributions for administration activities, but not yet earned, totaling $66 million
at June 30, 2025 ($74 million--June 30, 2024) are included in Other Assets and in Accounts payable and
miscellaneous liabilities, respectively, on the Balance Sheets.

Transfers Received

Under the agreements governing the administration of certain trust funds, IDA may receive any surplus assets as
transfers upon the termination of these trust funds. In addition, as loans are repaid to trust funds, in certain cases,
the repayments are transferred to IDA. During the fiscal year ended June 30, 2025 no funds were recorded as
transfers from affiliated organizations under these arrangements (Nil--for each of the fiscal years ended June 30,
2024 and June 30, 2023).

                             130
NOTE L--SEGMENT REPORTING

IDA has determined that it has a single reportable operating segment. The President is the Chief Operating
Decision Maker (CODM), who regularly reviews operational performance and financial measures of IDA to
assess performance and allocate resources.

The Administrative budget for IBRD and IDA is approved and managed as a single resource. The CODM
receives expense information on the combined basis for IBRD and IDA. As a result, no significant segment
expense amounts are presented separately for IDA to the CODM. The measure of segment profit or loss is at the
entity level and is reported on the Statements of Income as Net income (loss). The measure of segment assets is
reported on the Balance Sheets as Total assets.

The following table presents IDA's revenues by products/services:

Table L1: Revenue by products/services

In millions of U.S. dollars                                                                                                                              Fiscal Year Ended June 30,
Revenue                                                                                                                                                  2025 2024 2023

Loan revenue a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       $3,029 $2,646 $2,277
Revenue from externally funded activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Guarantee fees b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .       1,098 1,031 966
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                                                                                                                         38  21  21

                                                                                                                                                         $4,165 $3,698 $3,264

a. Excludes $15 million of interest rate swap income from loan-related derivatives for the fiscal year ended
       June 30, 2025 ($19 million of interest rate swap income--fiscal year ended June 30, 2024 and $6 million
       of interest rate swap income--fiscal year ended June 30, 2023). Includes net commitment charges of
       $23 million for the fiscal year ended June 30, 2025 ($26 million--fiscal year ended June 30, 2024, and $27
       million--fiscal year ended June 30, 2023).

b. Included in Non-interest revenue--other in the Statements of Income and excludes other miscellaneous
       expense of $2 million for the fiscal year ended June 30, 2025 (other miscellaneous income of $4 million
       and $10 million-fiscal year ended June 30, 2024 and fiscal year ended June 30, 2023, respectively).

NOTE M--CONTINGENCIES

From time to time, IDA may be named as a defendant or co-defendant in legal actions on different grounds in
various jurisdictions. The outcome of any existing legal action, in which IDA has been named as a defendant or
co-defendant, as of and for the fiscal year ended June 30, 2025, is not expected to have a material adverse effect
on IDA's financial position, results of operations or cash flows.

                                        131
NTER N AT I ONAL                                      Information StatementT A S S O C I ATIO
                                           International Development AssociationN
I
                                                                                    DEVELOPMEN

      No person is authorized to give any information or to make any representation not contained in this
Information Statement, any supplemental information statement or any prospectus; and any information or
representation not contained herein must not be relied upon as having been authorized by IDA or by any dealer,
underwriter or agent of IDA. Neither this Information Statement nor any supplemental information statement or
prospectus constitutes an offer to sell or solicitation of an offer to buy securities in any jurisdiction to any person
to whom it is unlawful to make such an offer or solicitation in such jurisdiction.

      The Information Statement contains forward looking statements which may be identified by such terms as
"anticipates", "believes", "expects", "intends" or words of similar meaning. Such statements involve a number
of assumptions and estimates that are based on current expectations, which are subject to risks and uncertainties
beyond IDA's control. Consequently, actual future results could differ materially from those currently
anticipated.

                                                    TABLE OF CONTENTS

                                                                                                                                                                      Page

Availability of Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Summary Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
IDA's Financial Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Financial Results . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Development Activities, Products and Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Other Development Activities and Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
Investment Activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38
Borrowing Activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
Risk Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
Critical Accounting Policies and the Use of Estimates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57
Governance and Internal Controls . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58
Affiliated Organizations  IBRD, IFC and MIGA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
Administration of IDA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63
The Articles of Agreement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65
Legal Status, Privileges and Immunities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65
Fiscal Year and Announcements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66
Fees to External Auditors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66
Appendix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67
Index to Financial Statements and Internal Control Reports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70
