WASHINGTON, March 17, 2020 – The World Bank's Board of Executive Directors recently discussed the Performance and Learning Review (PLR) of the Country Partnership Framework (CPF) for Turkey FY18-FY21. Performance Learning Reviews take place during the implementation of the CPF to assess progress and ensure objectives are being met and realigns priorities as needed.
This PLR extends the current CPF by two years to encompass FY22 and FY23 to align with Turkey’s 11th Development Program (DP) for the 2019-2023 period and its New Economic Program which sets out the longer-term structural reforms to be pursued to address the country’s development challenges. World Bank Group financing in this CPF period will be between $7 billion and $10.5 billion depending on demand. This CPF includes the flexibility to address emergencies.
“Turkey has the opportunity to bring higher standards of living to all of its population and to enhance its role in the global economy. This PLR details how the WBG aims to work with Turkey to contribute to turning this opportunity into a reality,” said Auguste Tano Kouame, World Bank Country Director for Turkey. “The World Bank Group will contribute to mobilize financing, knowledge, and global experience help Turkey to strengthen the institutions needed to sustain social and economic progress.”
“As the private sector arm of the World Bank Group, the International Finance Corporate (IFC) will continue to support Turkish financial institutions, corporates and projects to enhance the impact on growth, inclusion and sustainability,” said Arnaud Dupoizat, IFC Country Manager for Turkey. “In line with the PLR, IFC will also work with the rest of the World Bank Group in the areas of municipal finance and public private infrastructure.”
“The Multilateral Investment Guarantee Agency (MIGA) has maintained an active portfolio in Turkey, supporting projects in infrastructure, urban transport, finance and healthcare,” said Merli Baroudi, Director, Economics and Sustainability, MIGA. “Going forward, MIGA will pursue opportunities that focus specifically on delivering high development impact in those areas aligned with the PLR.”
To help boost growth the Country Partnership Framework (CPF) guides World Bank Group support to government efforts to address challenges in fiscal management, the financial sector, competitiveness, and private investment, through increased fiscal space, enhanced access to finance for underserved segments, and enhanced competitiveness and employment in selected industries. In the growth pillar, the emphasis on stronger macro-economic and fiscal management has become more important given the economic volatility experienced by Turkey in the past couple of years.
Recognizing Turkey’s success towards achieving the twin goals of reducing poverty and boosting shared prosperity, the CPF aims to promote inclusion by supporting efforts to reach those who are left behind, through increased effectiveness of social assistance, increased labor force participation of women and vulnerable groups, and strengthened performance of the education and health sectors. Under the inclusion pillar, the challenge of increasing equitable access to jobs and services to boost human capital and attenuate poverty during economic volatility is heightened, exacerbated by the need to support at least 4 million refugees living in Turkey (about 90% of whom are Syrian).
The CPF also promotes sustainability by helping to reorient growth towards a greener, resilient and sustainable pattern, through improved reliability of energy supply and generation of green energy, improved sustainability and resilience of cities, and increased sustainability of infrastructure assets and natural capital. Under the Sustainability pillar, emphasis is on Climate Change in line with Turkey recently reaffirming its commitment to scale up its actions on addressing climate change.