Some observers have questioned the rationale for continued engagement by international development institutions in middle-income countries. But these countries face development challenges calling for continued partnership with the international development community. Moreover, partnership with...

Even though multilateral loans may have behaved countercyclically with respect to private flows to Developing countries in the short term, these flows tended to complement private flows in the medium term by signaling, and often fostering, a better investment environment in the borrowing country