2025 (FY26) World Bank Group Staff Compensation Review - Glossary and Table of Contents

Jul 19, 2026

2025 (FY26) World Bank Group staff compensation review materials outline the methodology and outcomes for structure adjustments across Headquarters (HQ) and Country Offices (CO), and the FY26 budget allocations for awards programs. The glossary defines key terms including bank group entities, CO staff, salary structure and midpoint concepts, merit element funding limits, and special compensation measures. The introduction specifies how FY26 applies the WBG compensation approach and board-approved updates, with FY26 structure adjustment levels and market-based results described for HQ and CO contexts.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages12

Reading Time30 min

INTRODUCTION

A. HEADQUARTERS – STRUCTURE ADJUSTMENT

B. COUNTRY OFFICES – STRUCTURE ADJUSTMENT

C. FY26 SALARY INCREASE ENVELOPE

D. SENIOR MANAGEMENT SALARY INCREASES

E. SPECIAL COMPENSATION MEASURES

F. SPECIAL ALLOWANCE

G. FINANCIAL IMPLICATIONS

H. WBG MONETARY AWARDS PROGRAM

Annex A: 2025 (FY26) Structure Adjustments and Total Salary Increases – Country Offices

Annex B: Special Compensation Measures

Public Disclosure Authorized PublicPublicDisclosureDisclosuruthorizedAuthorized PuP liblic isDicloslure utAhorth izeid du u zsc os re r e 2025 (FY26) REVIEW OF STAFF COMPENSATION FOR THE WORLD BANK GROUP AND AWARDS ALLOCATIONS GLOSSARY | Bank Group or WBG | The World Bank Group (WBG) consists of the International Bank for Reconstruction and Development (IBRD or the Bank), International Finance Corporation (IFC), Multilateral Investment Guarantee Agency (MIGA), International Development Association (IDA), and International Center for the Settlement of Investment Disputes (ICSID) . | | --- | --- | | Country Office (CO) Staff | For purposes of this paper, Country Office staff refers to locally (country office)-appointed staff in locations outside of HQ. | | FCS/FCV | Fragile and Conflict-affected Situations/Fragile, Conflict and Violence | | HQ | Headquarters based in Washington, D.C. | | HQ Staff | HQ-appointed staff | | Merit Element | Its main objective is to progress salaries to the targeted compensation position and provide resources for performance differentiation; it is funded from the budgeted financial resources incurred over the year from the decline in salaries due to turnover (caused by inflows and outflows of staff, where more experienced staff leaving the organization are replaced by new recruits with lower salaries) . The Merit Element is not an addition to the budget. For HQ, the merit element is capped up to 1.5% per year, and for each CO it is set at 1.5% per year. | | Midpoint | The point in the World Bank Group’s salary ranges which aims tobe aligned with the 75th percentile of compensation at comparable levels in the respective local labor markets. | | Salary Structure or Salary Scale | The set of salary ranges established for various grade levels. Atthe WBG, the salary structure or salary scale has 11 salary ranges , from GA to GK. Each grade has a minimum and a maximum (called a salary range) and a midpoint. In some country offices, the scale starts with G1 grade. | | Special Compensation Measures | The supplemental compensation tool provided to CO staff with salaries denominated in local currency at times of high inflation or depreciation. | | --- | --- | | Structure Adjustment | The structure adjustment aligns the salary scales with the increases in labor market salary levels. This represents the increase resulting from aligning the midpoints to the newmarket values. | | Total Salary Increase Envelope | An authorized amount of funding for all staff in a given location to be distributed as individual salary increases based on staff’s performance and position of staff’s salary in the range. | Table of Contents INTRODUCTION ......................................................................................................................................... 5 A. HEADQUARTERS – STRUCTURE ADJUSTMENT....................................................................... 5 B. COUNTRY OFFICES – STRUCTURE ADJUSTMENT................................................................... 5 C. FY26 SALARY INCREASE ENVELOPE ........................................................................................ 5 D. SENIOR MANAGEMENT SALARY INCREASES .......................................................................... 6 E. SPECIAL COMPENSATION MEASURES...................................................................................... 6 F. SPECIAL ALLOWANCE ................................................................................................................. 7 G. FINANCIAL IMPLICATIONS ........................................................................................................... 7 H. WBG MONETARY AWARDS PROGRAM...................................................................................... 7 Annex A: 2025 (FY26) Structure Adjustments and Total Salary Increases – Country Offices ......... 8 Annex B: Special Compensation Measures ....................

FAQs

What does the 2025 (FY26) staff compensation review cover?

It covers structure adjustments for WBG Headquarters and Country Offices and the FY26 budget allocations for IBRD, IFC, and MIGA awards programs.

How are Headquarters structure adjustments determined for FY26?

The HQ structure adjustment for FY26 is 2.9%, capped in line with the 12-month average actual 2024 U.S. national inflation under the HQ compensation methodology, with a market-based outcome described using weighted U.S. public and private sector compensation inputs.

What are special compensation measures and when are they used?

Special compensation measures are supplemental tools for CO staff whose salaries are denominated in local currency during periods of high inflation or depreciation.

Jul 19, 2026

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