International Development Grant

Financial Sector Reform and Strengthening Initiative (FIRST)

Project Number: CA-3-M012438001

Status: Closed

Country/Region: Unknown

Regional Focus:

Africa 48%
America 14%
Asia 19%
Europe 19%

Maximum Contribution: $10,000,000.00

Start Date: February 28, 2007

End Date: February 07, 2011

Duration: 3.9 years

Project Description

The Financial Sector Reform and Strengthening Initiative (FIRST) is a multi-donor initiative that supports the stability and integrity of financial systems in developing countries and countries in transition to market-oriented economies. The initiative provides technical assistance to policy makers and regulatory bodies in beneficiary countries to strengthen supervision and regulations relating to banking insurance securities pensions money laundering payment systems and microfinance. The World Bank administers the initiative and reports to a Governing Council comprised of representatives from donors the International Monetary Fund and the World Bank itself.

Progress & Results Achieved

Results achieved as of June 2011 include: (1) The FIRST Initiative has helped more than 40 countries improve their ability to avoid and manage financial crisis. As an example the initiative supported the design of a computer model for the Azerbaijan financial system to diagnose weaknesses generated by financial shocks to individual institutions and to the banking system as a whole. (2) In Morocco a crisis simulation exercise enabled monetary authorities to discover that their financial crisis arrangements needed improvements in terms of crisis management processes and policy design. Based on the recommendations of the report on the simulation Moroccan monetary authorities implemented an action plan designed to close the gaps revealed. (3) The FIRST Initiative’s sustained support for the regulation and supervision of rural microfinance activities in the Lao People’s Democratic Republic has resulted in improvements that have simplified the process of establishing a microfinance institution in the country.

Key Information

Executing Agency:
IBRD Trust Funds - World Bank

Reporting Organization:
Global Affairs Canada

Program:
YFMInternaAssistPartnershp&Programing Br

Last Modified:
September 19, 2025

Development Classifications

DAC Sector:

Financial policy and administrative management 40%
Formal sector financial intermediaries 30%
Informal/semi-formal financial intermediaries 10%
Education/training in banking and financial services 20%

Aid Type: Contributions to specific-purpose programmes and funds managed by implementing partners

Collaboration: Bilateral

Finance Type: Aid grant excluding debt reorganisation

Selection Mechanism:
Pre-APP

Policy Markers
Level 1 ICT as a tool for development
Major Funding (>$1M)
Budget Breakdown
2007-04-01 to 2008-03-31 $10,000,000 CAD
Geographic Information
000
Project Number: CA-3-M012438001