Director General New WBG Independent Accountability Mechanism : Terms of Reference

Overview & Synopsis

This document outlines the terms of reference for the Director General (DG) of the new World Bank Group (WBG) Independent Accountability Mechanism (IAM), created by the Boards of Executive Directors of the International Bank for Reconstruction and Development and International Development Association, the International Finance Corporation, and the Multilateral Investment Guarantee Agency to reinforce accountability for environmental and social (ES) performance across WBG-financed operations. It describes the background of an integrated WBG ES structure designed to maintain continuous attention to ES risks throughout the project cycle, facilitate rapid issue escalation, and strengthen technical oversight. The IAM’s three functions are detailed: Dispute Resolution (DR) to facilitate voluntary, neutral problem-solving among affected communities and clients; Compliance to conduct independent fact-finding on adherence to WBG operational policies and the Sustainability Framework and recommend remedial actions where appropriate; and Advisory to provide independent, ad hoc advice on systemic issues to improve ES sustainability and reduce harm. The DG reports directly to the WBG Boards under the oversight of the Committee on Development Effectiveness (CODE), maintains institutional independence from Management, and is responsible for leading policy development and implementation, overseeing cases and internal procedures, managing operations and staff, ensuring quality and integrity of outputs, engaging stakeholders, and steering a transition that consolidates the Compliance Advisor Ombudsman (CAO), the Inspection Panel (IPN), and the Dispute Resolution Service (DRS) into a single mechanism. The conclusions emphasize that a unified, independent, and accessible IAM with strong leadership, clear investigative and dispute resolution capacities, robust advisory feedback loops, and disciplined performance management is intended to strengthen accountability, improve ES outcomes, and reduce risks to people and the environment. The policy changes include the establishment of a single WBG-wide IAM headed by a DG at Vice President level with a single five-year non-renewable term, direct reporting to the Boards, development of a new IAM policy and operating procedures consistent with seven Board-approved policy principles, transitional arrangements for existing cases, and the closure of legacy mechanisms as the integrated model is launched.