The World Bank Group mobilised a record of $112 billion in private capital for developing economies in the financial year 2026, more than tripling the amount raised alongside its own financing over the past four years, according to the bank.

The figure rose from $35 billion in FY2022 to $112 billion in FY2026, as the institution expanded its use of guarantees and other tools aimed at attracting private investors to developing markets.

Africa was among the regions that recorded growth, with private capital mobilisation rising from approximately $9 billion in FY2022 to $22 billion in FY2026, an increase of nearly 150 per cent.

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Combined with the Group's own financing, the record private capital mobilisation brought total financing and mobilisation in developing economies to more than $200 billion in FY2026.

The increase comes as the World Bank Group seeks to make private-sector investment a larger part of development financing, particularly in economies facing major infrastructure, business and employment needs.

Private capital mobilisation to lower-middle-income countries increased from $14 billion in FY2022 to $37 billion in FY2026, while mobilisation to upper-middle-income countries rose from $12 billion to $50 billion.

In low-income countries, where attracting private investment is generally more difficult, mobilisation remained at about $3 billion.

The World Bank Group attributed the broader growth to changes introduced over the past three years to make its operations faster and simpler and bring its public- and private-sector arms closer together.

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The institution said it has also expanded the tools available to investors, including guarantees, local-currency financing and equity instruments, while working to address foreign-exchange risks and improve business and regulatory environments.

World Bank Group President Ajay Banga said the changes were aimed at making the institution a stronger partner for the private sector.

"Three years ago, our shareholders and clients were clear, utilizing World Bank Group financing and knowledge to mobilize more private capital and become a better partner to the private sector,” Banga said.

"We changed how we work to do that faster, simpler, and as one World Bank Group.”

He said the increase would only matter if the capital reached areas where it could create jobs and economic opportunities.

"The result is $112 billion mobilized this year, more than three times where we started. But the number only matters if the capital goes where it can create opportunity and jobs,” Banga said.

Guarantees have become one of the World Bank Group's key tools for attracting private capital to developing economies.

The Group issued more than $25 billion in guarantees in FY2026, exceeding its target of $20 billion in annual issuance by 2030, four years ahead of schedule.

The growth was led by the World Bank Group Guarantee Platform, which was created in 2024 to provide clients and investors with a single point of access to guarantee products from across the institution.

The guarantees are intended to help address some of the risks that can make investors reluctant to put capital into developing markets.

The World Bank Group said it has also been working to identify practical barriers that hold back private investment, including challenges in business regulation, foreign exchange and access to suitable financing.

The institution estimates that 1.2 billion young people in developing economies will reach working age over the next 10 to 15 years, while about 420 million jobs are projected to be created.

The private sector currently accounts for nine out of every 10 jobs in developing economies, according to the World Bank Group.

The Group’s jobs strategy focuses on investing in human and physical infrastructure, creating business-ready regulatory environments and helping private businesses scale.

The strategy identifies infrastructure and energy, agribusiness, healthcare, tourism and value-added manufacturing as sectors with potential to generate investment and employment at scale.

In FY2026, 55 per cent of the World Bank Group's total financing, including its own financing and mobilised capital, went to these sectors.

The Group said the investment is also reaching lower-income economies, where regional and local investors are increasingly complementing global capital in financing businesses and creating jobs.

The World Bank Group is now looking to expand the pool of investors participating in developing-economy projects through its originate-to-distribute model, a model where a bank creates and issues a loan, but quickly sells it to other investors or groups rather than keeping it until it is fully paid off.

The approach is intended to connect developing economies with large pools of long-term capital held by institutional investors.

The World Bank Group said the next phase of its work will focus on mobilising capital from more sources and directing more of it towards investment, business expansion and job creation in developing economies.