Many experts believe the underlying cause of terrorism is poverty. Today, over a billion people live in desperate conditions. Millions die each year of malnutrition or from treatable disease. The World Bank is viewed by many as the lead organization in the war on global poverty. Yet, in recent years, the effectiveness of its lending and its accountability for mistakes has concerned many people. There is a perception that well-connected financiers close their doors to deliberate on the fate of millions and it is only when these insiders unlock them that people living in poverty learn what has been decided about their future. By the dawn of the millennium, the Bank was being vilified by governments and activists as monolithic and secretive and as exacerbating poverty rather than eradicating it. Now, we have entered a time when donor nations are focusing resources on fighting terrorism rather than promoting development. Many believe the Bank has reached a critical juncture.

The World Bank Unveiled comes at a crucial phase of the Bank’s evolution and its timing is compelling. In the wake of Paul Wolfowitz’s resignation as Bank President and the appointment of Robert Zoellick as his successor in 2007, The New York Times offered a frank assessment. Zoellick’s first task would be to convince donors to fully replenish the International Development Association's (IDA) funding that occurs every three years. IDA funding is directed to the Bank’s poorest client countries. “But continuing that aid, and perhaps increasing it, is now a major hurdle… wealthy countries are balking because of their own budget problems and lingering questions after recent turmoil over the Bank’s relevance, its priorities and its effectiveness,” wrote Steven Weisman of The Times. (“World Bank
Faces Doubts From Donors, September 25, 2007). In September 2008, The Times noted aid from the donor countries had declined 13% from 2005 to 2007. Commitments made in Monterrey in 2002 and by the G-8 in 2005 in Scotland had not been met. And of all the major donors at Monterrey, the U.S. is furthest behind in meeting its commitments. (Times editorial, “Failing the World’s Poor,” September 23, 2008.) Events in 2008 have only increased the stakes: beginning with escalating food prices that led to riots in some countries and ending with the sharpest global economic downturn since the Great Depression.

In 1999, two Bank researchers understood the institution was already on a precipice. Rich countries that funded its lending operations had become skeptical that it could deliver sound results. Poor countries that borrowed from it felt antagonized by loans they were pressured to accept that had led to higher debt and, in some instances, more poverty. Non-governmental organizations and thousands of protesters were also on the march, suggesting the Bank was destroying the environment, desecrating indigenous cultures and creating profits for large multinational corporations at the expense of the world’s poor. The two researchers wondered if it was possible to open up the institution in such a way as to increase it transparency, improve its accountability and mute criticism. They decided to launch an internet-based broadcasting station that disseminated unedited videos of internal discussions and debates. The Bank’s culture and bureaucracy, hardened over a half-century, presented them with a formidable foe. Some powerful officials within the Bank viewed the transparency initiative as anathema. The World Bank Unveiled documents this epic struggle. It is the story of a revolution to transform the World Bank and a case study of the power of the Bank to transform people’s lives.

While immensely powerful, the Bank is an enigma to most of the public. Other publications about the Bank have offered a global perspective on its activities. The World Bank Unveiled is the only
text that gives readers a glimpse on its inner workings from an internal source. The author speaks with authority from 12 years of experience inside the institution. From this unique perspective, he conducts
an analysis of how the institution thinks, operates and acts. Other authors have alluded to the importance of transparency in molding the Bank into a more effective organization. Yet, none have explored the issue in detail or deciphered the underlying cultural norms that make transparency difficult in the current environment.

Population growth is expected to accelerate in the opening decades of the new century and to reach six billion by 2025. To reduce poverty in an environment where stresses on the global poor will increase for generations, the Bank must remain relevant. Nevertheless, its relevancy is not assured. Its skeptics multiply by the day while millions die. The Bank’s lack of transparency and accountability has undermined its ability to increase aid levels. The institution must change and The World Bank Unveiled shows why.

“After a dozen years of working at the World Bank, I left with one firmly held and unalterable belief: the institution has as noble a mission as mankind can create. Thousands of individuals from all over the globe working at the Bank are dedicated to making its mission -- a world free from poverty – a reality. The World Bank Unveiled was written for them as well as the millions of shareholders they serve. I knew from my experience there were World Bankers who cared deeply about issues that concerned external critics. These critics viewed the Bank as monolithic, secretive and uncaring, but they didn’t have access to the view I had. Still, their concerns have validity, because I believe there are two World Banks. One recognizes its mistakes and limitations and seeks to be guided by the community of man. The other rejects its own fallibility, promotes its superiority and shelters itself within the confines of its authority. My own work, to develop an internal and transparent communications medium, served as the fault line between these competing philosophies. I decided to write The World Bank Unveiled because I believe it will provide an opportunity for those who want a more open and accountable institution to overcome an internal culture wedded to secrecy and a bureaucracy married to the status quo. If this should occur, the ultimate winners will be those millions who currently live in poverty because they will then have a more effective advocate on their behalf.”

-- David Shaman, author of The World Bank Unveiled,
published by Parkhurst Brothers, Inc., Publishers