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Middle Income Countries and Multilateral Development Banks Traps on the Way to Graduation

Author

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  • Otaviano Canuto
  • Matheus Cavallari
  • Tiago Ribeiro dos Santos

Abstract

Multilateral Development Banks (MDBs) have two financing windows, with different terms, dedicated to low- and middle-income countries. Countries are presumed to cross those windows as their income per capita rises, with middle-income countries (MICs) eventually “graduating” to a non-client status once they reach some criteria. However, due to what may be called “middle-income traps”, such progression toward graduation has been limited to a small number of countries.

Suggested Citation

  • Otaviano Canuto & Matheus Cavallari & Tiago Ribeiro dos Santos, 2019. "Middle Income Countries and Multilateral Development Banks Traps on the Way to Graduation," Research papers & Policy papers on Economic Trends and Policies 1939, Policy Center for the New South.
    • Handle: RePEc:ocp:rpaeco:pp1910
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    References listed on IDEAS

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