IDA (International Development Association)

The International Development Association (IDA) is the part of the World Bank Group that supports the world's poorest countries with grants, zero-interest credits, and highly concessional loans. Because the countries it serves cannot access capital markets at affordable rates, IDA finances development projects that would otherwise be impossible, from rural health clinics to urban water systems, and those projects generate procurement opportunities governed by the same World Bank rules that apply to ibrd lending.

What is IDA?

IDA is funded by contributions from donor countries, which replenish it every three years in what is called an IDA replenishment round. IDA committed $33.8 billion in FY2025 across its member countries, covering education, health, agriculture, infrastructure, and social protection projects. Eligible countries are determined by per-capita income and a creditworthiness assessment; the most fragile and poorest countries receive grants rather than credits, meaning no repayment obligation.

Procurement under IDA-financed projects follows exactly the same world-bank-procurement-regulations-for-ipf-borrowers as IBRD-financed projects and is tracked through step. The key difference for suppliers is the country context: IDA borrowers are typically lower-income countries with more limited procurement capacity, which often means higher procurement-risk-rating and more intensive Bank oversight, including lower prior-review thresholds and sometimes heis support.

Why IDA matters for bidders

IDA-financed projects cover enormous volumes of goods, works, and consulting services across some of the highest-growth markets in the world, including sub-Saharan Africa, South Asia, and small island states. Suppliers willing to work in these environments often face less competition from established international firms, particularly in sectors like health, education, and agriculture. The standardised document set and World Bank oversight provide procedural safeguards even in difficult operating environments. For consulting firms in particular, IDA projects in capacity-constrained countries represent a substantial and growing market.

FAQ

How does IDA differ from IBRD in procurement terms?

The procurement rules are identical. The difference is the country context: IDA countries are poorer, often have weaker procurement systems, and tend to carry higher risk ratings, which affects oversight intensity.

Do IDA grants require the same procurement standards as IDA credits?

Yes. Whether the financing is a grant or a credit, if it is channelled through an IDA-financed project, the same Procurement Regulations apply.

Where can I find IDA-financed procurement opportunities?

They appear alongside IBRD opportunities on the World Bank's public procurement portal and in step-generated notices. The project documents also identify whether financing is from IBRD or IDA.