India has emerged as one of the top three sources of private capital mobilised by the World Bank Group, alongside the United States and the United Kingdom, as the institution’s annual private capital mobilisation more than tripled to a record $112 billion in the financial year 2025–26.

World Bank Group President Ajay Banga highlighted the achievement during his address at the institution’s 2026 Annual Meetings in Bangkok, Thailand, on October 16. He said the organisation had mobilised around $35 billion in private capital in FY22, before the launch of its current reform agenda, compared with $112 billion in the latest financial year.

The figures highlight the growing role of private investment in financing development projects across countries. The World Bank Group has been working to attract more private capital to complement its own funding and extend the reach of development finance.

India joins US and UK among leading capital sources

Investors from 110 countries contributed to the World Bank Group’s private capital mobilisation. Banga identified India, the United States and the United Kingdom as the leading sources.

The participation of investors from countries including Romania, Chile, Poland and Brazil also points to a broader geographical spread of capital contributing to development financing.

Private capital mobilisation involves efforts to encourage private investors to participate in projects that support economic development. These investments can complement public financing and help fund infrastructure, businesses and other activities that contribute to employment and economic growth.

India’s position among the leading sources reflects its participation in this international investment landscape. However, the reported ranking refers specifically to sources of private capital mobilised by the World Bank Group and should not be interpreted as a ranking of all global investment flows.

World Bank Group mobilisation rises to $112 billion

The increase from approximately $35 billion in FY22 to $112 billion in FY26 marks a substantial expansion in the institution’s reported mobilisation of private capital.

When combined with the World Bank Group’s own financing, total financing exceeded $230 billion in the latest financial year, according to Banga’s address.

The organisation has been pursuing reforms intended to make development financing more efficient and attract private investors to projects in emerging and developing economies.

These efforts are designed to use available public resources more effectively while encouraging additional private-sector participation. The approach is particularly relevant for countries that require substantial investment but face constraints in financing infrastructure, business expansion and employment generation.

The World Bank Group has also sought to improve the speed of project preparation and expand its capacity to support development initiatives.

Faster project preparation and additional lending capacity

Banga said the institution had reduced project preparation time from 19 months to nine months. He also highlighted reforms that created more than $100 billion in additional lending capacity over a decade through changes to its balance sheet.

Faster project preparation can help shorten the time between identifying a development need and moving towards implementation. It may also help make projects more attractive to investors by reducing delays and uncertainty.

The additional lending capacity is intended to enable the institution to support more development financing over time without relying solely on increases in its existing resources.

The reforms form part of a wider effort to expand the impact of development finance while bringing private investment into projects that might otherwise struggle to secure funding.

Guarantees and local-currency financing support investment

The World Bank Group is also using guarantees, equity investments and local-currency financing to address risks that can discourage private investors from entering developing markets.

Guarantees can help reduce specific risks associated with investments, while equity participation can provide direct financial support to projects and businesses. Local-currency financing can help address currency-related risks that may affect borrowers and investors operating in developing economies.

According to Banga’s address, the institution issued a record $25 billion in guarantees in FY26.

These tools are part of the effort to encourage private capital to participate in development projects while addressing barriers that may otherwise limit investment.

Their effectiveness, however, depends on the circumstances of individual projects, the risks involved and the ability of investments to deliver sustainable outcomes.

Capital mobilisation remains uneven across economies

Despite the overall increase, the benefits of private capital mobilisation have not been distributed evenly across income groups and regions.

Private capital mobilisation in lower-middle-income countries nearly tripled between FY22 and FY26, reaching $37 billion. Upper-middle-income economies recorded an increase to $50 billion over the same period.

Across Africa, mobilisation more than doubled to $22 billion. In low-income countries, however, the figure remained largely unchanged at around $3 billion.

The difference highlights a continuing challenge for international development institutions: attracting private investors to economies where commercial financing can be difficult to secure.

Investors may face greater perceived risks, limited infrastructure or other barriers in some low-income markets. These conditions can make it more difficult for projects to attract private funding even when their development needs are substantial.

Jobs remain a central development challenge

Banga said the next challenge was to direct more investment towards countries where commercial financing remains difficult to obtain.

The issue is closely connected to employment. An estimated 1.2 billion young people are expected to enter the job market over the next 10 to 15 years, while the number of jobs projected to be created over that period stands at around 400 million, according to the report.

The projected gap underlines the scale of the employment challenge facing developing economies. Mobilising private investment and expanding job opportunities will therefore need to progress together.

For India and other developing countries, access to capital can support business expansion and economic activity. However, the eventual impact will depend on how effectively investments translate into productive enterprises, sustainable projects and employment opportunities.

Focus shifts towards wider access to development finance

The World Bank Group’s record private capital mobilisation marks a significant increase in the amount of private funding it has helped attract. India’s inclusion among the leading sources places the country within this wider international financing effort.

At the same time, the differences between income groups show that higher overall mobilisation does not automatically translate into equal access to finance for every country.

The institution’s next challenge will be to expand investment in markets where private financing remains limited and ensure that development funding supports employment and economic opportunity.

The figures presented by Banga highlight both the scale of the progress reported in FY26 and the work that remains to extend private capital to countries facing the greatest financing constraints.