About The Report

Since the late 1990s, a fundamental shift has occurred in the pattern of private sector financial flows to developing countries. Debt flows have fallen sharply, while equity flows—mainly in the form of foreign direct investment—have remained comparatively robust. This shift from debt to equity should diminish the volatility of developing countries’ external finance and improve their access to technology, markets, and management expertise. But much more needs to be done to put development finance on a stable basis.The decline in debt flows, coupled with weak export revenues, has placed enormous pressure on the middle-income, highly indebted countries. Many low-income countries face the triple burden of low commodity prices, unsustainable debt, and declining levels of aid. Growth remains well short of what is necessary to achieve the Millennium Development Goals.

Global Development Finance 2003, I: Analysis and Statistical Appendix  is the World Bank’s annual review of recent trends in and prospects for financial flows to developing countries. It also contains the Bank's projections of the global outlook in light of current global geopolitical uncertainties.

Global Development Finance 2003, II: Summary and Country Tables  includes a comprehensive set of tables with statistical data for 138 countries that report debt under the World Bank Debtor Reporting System, as well as summary data for regions and income groups. It contains data on total external debt stocks and flows, aggregates, and key debt ratios, and provides a detailed, country-by-country picture of debt. Global Development Finance 2003 debt data are also available on CD-ROM, with more than 200 historical time series from 1970 to 2001, and country group estimates for 2002.

With analysis spanning the range of flows from sophisticated market transactions to emergency aid, Global Development Finance 2003 is unique in its breadth of coverage of the issues related to international development finance. In putting all development-related flows in a consistent framework, the publication will allow government officials, economists, investors, financial consultants, academics, bankers, and the entire development community to better understand, manage, and promote the key challenge of financing development.