The World Bank Group mobilised a record $112 billion in private capital for developing economies in fiscal year 2026, more than three times the $35 billion recorded in FY2022, according to the multilateral lender.
The World Bank Group disclosed this in a statement issued on Thursday, saying the increase reflected efforts to expand private-sector investment through financing, guarantees and other investment instruments.
Combined with the group’s own financing, the mobilisation brought its total financing and capital mobilisation in developing economies to more than $200 billion during FY2026.
The World Bank said private capital mobilisation (PCM) increased across different income groups and regions.
In lower-middle-income countries, private capital mobilisation rose from $14 billion in FY2022 to $37 billion in FY2026, while mobilisation in upper-middle-income countries increased from $12 billion to $50 billion.
In low-income countries, where attracting private investment remains more challenging, mobilisation remained at about $3 billion.
Across Africa, private capital mobilisation increased from about $9 billion to $22 billion, representing an increase of nearly 150 per cent.
The World Bank said the growth followed reforms introduced over the past three years to make its operations faster and simpler, strengthen coordination between its public and private-sector arms and expand the tools available to investors.
The group said it had also introduced a single point of contact for its public and private-sector activities in individual countries and begun developing integrated strategies based on national development priorities.
The reforms have been applied across countries including Nigeria, South Africa, Kenya, Egypt, Ghana, Rwanda, Ethiopia, Tanzania, Côte d’Ivoire and Senegal, among other developing economies, through various World Bank and private-sector investment programmes.
The World Bank said the Private Sector Investment Lab had also helped identify barriers to investment and develop measures to address them.
These measures include improving business and regulatory environments, expanding guarantees and local-currency financing, addressing foreign-exchange challenges, increasing equity financing tools and creating new opportunities for institutional investors to participate in developing economies.
The World Bank Group also issued more than $25 billion in guarantees during FY2026, exceeding its annual target of $20 billion by 2030 four years ahead of schedule.
World Bank Group President Ajay Banga said the institution had changed the way it worked with governments and the private sector to increase investment in developing economies.
“Three years ago, our shareholders and clients were clear: utilize World Bank Group financing and knowledge to mobilize more private capital and become a better partner to the private sector,” Banga said.
He said the $112 billion mobilisation was significant because of the potential for the capital to support investment, employment and economic opportunities.
The World Bank said job creation remained a central priority, noting that about 1.2 billion young people in developing economies are expected to reach working age over the next 10 to 15 years, while only about 420 million jobs are projected to be created.
According to the institution, the private sector currently accounts for about nine out of every 10 jobs in developing economies.
Its jobs strategy therefore focuses on investment in human and physical infrastructure, business-friendly regulatory environments and measures to help private businesses expand.
The strategy identifies infrastructure and energy, agribusiness, healthcare, tourism, and value-added manufacturing as five sectors with significant potential to drive investment and employment.
