What is a primary function of the World Bank?

The primary function of the World Bank is to encourage private investment in developing nations through loan guarantees. This reflects the Bank's commitment to reducing poverty and fostering sustainable economic development by facilitating financial support for projects and initiatives that drive growth in less economically developed countries. By ensuring that investments can be made with a level of security against potential risks, the World Bank helps to mobilize additional capital from private investors, which is crucial for the development of infrastructure, health, education, and various sectors in these nations.

The World Bank's role encompasses providing funding, but it is not specifically focused on direct economic assistance to developed nations, managing global trade agreements, or regulating international monetary policies, which are responsibilities handled by different entities or organizations.