The World Bank Group says it mobilised a record $112 billion in private capital during the fiscal year that ended in June 2026, marking the highest level in its history as the institution seeks to attract more private investment into developing economies.

The figure represents a sharp increase from about $69 billion mobilised in fiscal 2025 and is more than three times the $35 billion recorded in 2022.

Combined with the World Bank Group's own financing, total financing and private capital mobilisation in developing economies exceeded $200 billion during the latest fiscal year.

The increase comes as governments across developing countries face substantial infrastructure and development financing needs while high debt burdens and constrained public finances limit their ability to fund projects entirely from government resources.

AFRICA RECORDS STRONG INCREASE

Africa was among the regions to record substantial growth in private capital mobilised with World Bank Group support.

Private capital mobilisation across Africa increased from approximately $9 billion in fiscal 2022 to $22 billion in fiscal 2026, representing an increase of nearly 150 percent.

Lower middle income countries collectively attracted $37 billion through World Bank Group mobilisation in fiscal 2026, compared with $14 billion four years earlier.

Upper middle income countries recorded an even larger increase, rising from $12 billion in 2022 to $50 billion in 2026.

Mobilisation in low income countries remained around $3 billion, highlighting the continuing difficulty of attracting private investors into some of the world's poorest and highest risk markets.

WORLD BANK EXPANDS GUARANTEES

The World Bank Group said the increase followed changes aimed at making it easier for private investors to participate in development projects.

These measures include expanding guarantees, increasing local currency financing, addressing foreign exchange risks and improving the regulatory environment for businesses and investors.

The institution issued more than $25 billion in guarantees during fiscal 2026, exceeding four years early its target of issuing $20 billion annually by 2030.

World Bank Group President Ajay Banga said the institution had changed the way it works with governments and the private sector in an effort to make financing faster and simpler.

He said the challenge now was ensuring that more capital reaches investments capable of creating jobs and economic opportunities in developing economies.

INFRASTRUCTURE AND JOB CREATION IN FOCUS

The World Bank has increasingly emphasised private investment as governments struggle to meet the enormous financing requirements for infrastructure, energy, healthcare and other development priorities.

In fiscal 2026, 55 percent of the World Bank Group's combined financing and mobilised capital went to sectors it considers particularly important for employment, including infrastructure and energy, agribusiness, healthcare, tourism and value added manufacturing.

The institution estimates that 1.2 billion young people will reach working age across developing economies during the next 10 to 15 years, while only around 420 million jobs are currently projected to be created.

The World Bank says the private sector creates nine out of every 10 jobs in developing economies, making greater private investment central to its employment strategy.

PUSH TO ATTRACT MORE GLOBAL INVESTORS

Despite the record mobilisation, the World Bank says considerably more investment will be required.

The institution is developing mechanisms that could package and distribute investments to pension funds, insurers and other institutional investors, allowing larger pools of global capital to participate in developing economy projects.

For developing countries, particularly those facing high debt levels and limited government budgets, successfully attracting private capital could provide another source of financing for infrastructure and productive investment.

The latest figures show significant progress, but the World Bank's own data also demonstrate that attracting investment to low income and higher risk economies remains a major challenge.