A
savings account for persons with lower
income. The
funds put into an IDA are
matched by a public or private organization. One may use the funds in an IDA for educational purposes, starting a business, or
buying a first house. IDAs are accompanied by programs for
credit improvement and other classes to help account holders move up from poverty and into the middle classes.
A division of the
World Bank that provides
long-term,
interest-free loans to the world's 80 poorest countries. The IDA is responsible for poverty reduction and other aspects of international development in the Third World. Nearly half of the countries it assists are in Africa. The IDA was established in 1960; its loans assist in public health, business development, education, and infrastructure development.