[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-111249-en":3,"doc-seo-111249-105":29,"detail-sidebar-cat-0-en-105":90},{"code":4,"msg":5,"data":6},0,"success",{"doc_id":7,"user_id":8,"nickname":9,"user_avatar":10,"doc_module":4,"category_id":11,"category_name":12,"doc_title":13,"doc_description":14,"doc_content":15,"file_id":16,"file_url":17,"file_type":18,"file_size":19,"view_count":4,"is_deleted":4,"is_public":20,"is_downloadable":20,"audit_status":20,"page_count":21,"language":22,"language_code":23,"site_id":24,"html_lang":23,"table_of_contents":25,"faqs":26,"seo_title":13,"seo_description":14,"update_tm":27,"read_time":28},111249,1649267921044,"Ava Thompson","https://us-avatar.wpscdn.com/avatar/1800007509477c92dfb?_k=1782875107921204101",8,"Research & Report","IBRD Callable Capital - Executive Summary - Reverse stress test and shareholder response","The report explains the process and governance of IBRD callable capital, detailing scenarios that could lead to a capital call, when and how such a call may be made, and how shareholders would respond. Callable capital may be called only to meet bond and guarantee obligations under the Articles of Agreement’s “waterfall” approach. It also presents reverse stress test scenarios, emphasizing their extreme remoteness, and summarizes how shareholder commitments function as legally binding contingent liabilities with varying requirements for parliamentary approvals.","Pub lic Disclosure Authorized Pub lic Disclosure Authorized Pub lic Disclosure Authorized Pub lic Disclosure Authorized  \nIBRD Callable  \nCapital  \n© 2024 International Bank for Reconstruction and Development / The World Bank  \n1818 H Street NW Washington DC 20433 Telephone: 202-473-1000  \n[Internet: www.worldbank.org](Internet: www.worldbank.org)  \nThis work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent.  \nThe World Bank does not guarantee the accuracy, completeness, or currency of the data included in this work and does not assume responsibility for any errors, omissions, or discrepancies in the information, or liability with respect to the use of or failure to use the information, methods, processes, or conclusions set forth. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries.  \nNothing herein shall constitute or be construed or considered to be a limitation upon or waiver of the privileges and immunities of The World Bank, all of which are specifically reserved.  \nRights and Permissions  \nThe material in this work is subject to copyright. Because The World Bank encourages dissemination of its knowledge, this work may be reproduced, in whole or in part, for noncommercial purposes as long as full attribution to this work is given.  \nAny queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522- 2625; e-mail: [pubrights@worldbank.org](pubrights@worldbank.org).  \nDesign: Sarah Jene Hollis, GCS, World Bank Group  \nCover Photo: World Bank / Simone D. McCourtie  \nContents  \n1 Introduction 1  \n2 Legal and Governance Framework 3  \n3 Reverse Stress Test Analysis 7  \n4 Shareholder Process for Responding to a Call 11  \n5 Conclusion 13  \nAnnex 1. IBRD Shareholder Capital Subscriptions 21  \nAnnex 2. Individual Shareholder Responses 27  \nUnited States 27  \nJapan 34  \nGermany 37  \nUnited Kingdom 40  \nIndia 45  \nCanada 48  \nItaly 53  \nSpain 59  \nNetherlands 63  \nKorea, Republic of 67  \nSwitzerland 70  \nBelgium 74  \nAustralia 77  \nPoland 83  \nDenmark 85  \nAustria 88  \nNorway 91  \nChile 94  \nNew Zealand 97  \nCzechia 102  \nSlovak Republic 106  \nLithuania 109  \nLatvia 112  \nTables  \nTable 1: Reverse Stress Test Illustrative Scenarios 7  \nTable 2: Overview of Shareholder Process 14  \nFigures  \nFigure 1: Illustration of How a Large Non-accrual could Potentially Lead to a Call on Capital 8  \nAcronyms and Abbreviations  \nCAF Capital Adequacy Framework  \nE/L Equity-to-Loan Ratio  \nFY Fiscal Year  \nIBRD International Bank for Reconstruction and Development  \nLLP Loan Loss Provisioning  \nMDB Multilateral Development Bank  \nMOF Ministry of Finance  \nPCT Preferred Creditor Treatment  \niv  \nIBRD Callable Capital  \nExecutive Summary  \nCallable capital has been an integral part of IBRD’s capital structure and a foundational element in IBRD’s capital adequacy framework. This report seeks to provide increased clarity on the process and governance surrounding IBRD’s callable capital, including clarification on scenarios that could lead to a call, when callable capital can be called, how a call could be made, and how shareholders could respond to a call.  \nIBRD’s callable capital can only be called to meet bond and guarantee obligations. The Executive Directors are authorized to call capital by a majority of the total voting power. IBRD’s Articles of Agreement set forth a clear “waterfall” for calling capital where IBRD’s special reserve, surplus, and the income earned on its paid-in capital and retained earnings would be ap","cbCaip6qyL8NnLqW","https://ap.wps.com/l/cbCaip6qyL8NnLqW","pdf",3851751,1,121,"English","en",105,"# Introduction\n# Legal and Governance Framework\n# Reverse Stress Test Analysis\n# Shareholder Process for Responding to a Call\n# Conclusion\n## Annex 1. IBRD Shareholder Capital Subscriptions\n## Annex 2. Individual Shareholder Responses","[{\"question\":\"What is IBRD callable capital used for?\",\"answer\":\"IBRD callable capital can only be called to meet bond and guarantee obligations.\"},{\"question\":\"Under what authority and mechanism can IBRD call callable capital?\",\"answer\":\"Executive Directors may call capital by a majority of total voting power, following the Articles of Agreement “waterfall” that prioritizes reserves, surplus, and income from paid-in capital and retained earnings.\"},{\"question\":\"How do reverse stress test results affect the likelihood of a capital call?\",\"answer\":\"The reverse stress test highlights scenarios that could trigger a capital call, while emphasizing their extreme remote nature and the low probability intended by IBRD’s capital adequacy framework.\"}]",1784489301,305,{"code":4,"msg":30,"data":31},"ok",{"site_id":24,"language":23,"slug":32,"title":13,"keywords":33,"description":14,"schema_data":34,"social_meta":85,"head_meta":87,"extra_data":89,"updated_unix":27},"ibrd-callable-capital-executive-summary-reverse-stress-test-and-shareholder-response","",{"@graph":35,"@context":84},[36,53,67],{"@type":37,"itemListElement":38},"BreadcrumbList",[39,43,47,50],{"item":40,"name":41,"@type":42,"position":20},"https://docshare.wps.com","Home","ListItem",{"item":44,"name":45,"@type":42,"position":46},"https://docshare.wps.com/document/","Document",2,{"item":48,"name":12,"@type":42,"position":49},"https://docshare.wps.com/document/research-report/",3,{"item":51,"name":13,"@type":42,"position":52},"https://docshare.wps.com/document/ibrd-callable-capital-executive-summary-reverse-stress-test-and-shareholder-response/111249/",4,{"url":51,"name":13,"@type":54,"author":55,"headline":13,"publisher":57,"fileFormat":60,"inLanguage":23,"description":14,"dateModified":61,"datePublished":61,"encodingFormat":60,"isAccessibleForFree":62,"interactionStatistic":63},"DigitalDocument",{"name":9,"@type":56},"Person",{"url":40,"name":58,"@type":59},"DocShare","Organization","application/pdf","2026-07-19",true,{"@type":64,"interactionType":65,"userInteractionCount":4},"InteractionCounter",{"@type":66},"ViewAction",{"@type":68,"mainEntity":69},"FAQPage",[70,76,80],{"name":71,"@type":72,"acceptedAnswer":73},"What is IBRD callable capital used for?","Question",{"text":74,"@type":75},"IBRD callable capital can only be called to meet bond and guarantee obligations.","Answer",{"name":77,"@type":72,"acceptedAnswer":78},"Under what authority and mechanism can IBRD call callable capital?",{"text":79,"@type":75},"Executive Directors may call capital by a majority of total voting power, following the Articles of Agreement “waterfall” that prioritizes reserves, surplus, and income from paid-in capital and retained earnings.",{"name":81,"@type":72,"acceptedAnswer":82},"How do reverse stress test results affect the likelihood of a capital call?",{"text":83,"@type":75},"The reverse stress test highlights scenarios that could trigger a capital call, while emphasizing their extreme remote nature and the low probability intended by IBRD’s capital adequacy framework.","https://schema.org",{"og:url":51,"og:type":86,"og:title":13,"og:site_name":58,"og:description":14},"article",{"robots":88,"canonical":51},"index,follow",{"doc_id":7,"site_id":24},{"code":4,"msg":5,"data":91},[92,96,100,104,109,114,119,122,127,130,134],{"id":20,"doc_module":4,"doc_module_name":45,"category_name":93,"show_sort_weight":94,"slug":95},"Story & Novel",90,"story-novel",{"id":46,"doc_module":4,"doc_module_name":45,"category_name":97,"show_sort_weight":98,"slug":99},"Literature",80,"literature",{"id":52,"doc_module":4,"doc_module_name":45,"category_name":101,"show_sort_weight":102,"slug":103},"Exam",70,"exam",{"id":105,"doc_module":4,"doc_module_name":45,"category_name":106,"show_sort_weight":107,"slug":108},5,"Comic",60,"comic",{"id":110,"doc_module":4,"doc_module_name":45,"category_name":111,"show_sort_weight":112,"slug":113},6,"Technology",50,"technology",{"id":115,"doc_module":4,"doc_module_name":45,"category_name":116,"show_sort_weight":117,"slug":118},7,"Healthcare",40,"healthcare",{"id":11,"doc_module":4,"doc_module_name":45,"category_name":12,"show_sort_weight":120,"slug":121},30,"research-report",{"id":123,"doc_module":4,"doc_module_name":45,"category_name":124,"show_sort_weight":125,"slug":126},9,"Religion & Spirituality",20,"religion-spirituality",{"id":125,"doc_module":4,"doc_module_name":45,"category_name":128,"show_sort_weight":125,"slug":129},"World Cup","world-cup",{"id":131,"doc_module":4,"doc_module_name":45,"category_name":132,"show_sort_weight":131,"slug":133},10,"Lifestyle","lifestyle",{"id":135,"doc_module":4,"doc_module_name":45,"category_name":136,"show_sort_weight":105,"slug":137},19,"General","general"]