Poor countries must now collect 15% of GDP in taxes to get World Bank help

The World Bank and IMF have set a new minimum tax revenue target for low-income and fragile states seeking development aid. Countries must now collect at least 15% of their GDP in taxes to qualify for effective support, a threshold linked to better growth and public services. This means aid will be tied to a country's ability to raise its own money.

For years, development aid often flowed without strict conditions on a country's own financial management. This new principle means that countries that cannot collect enough taxes will find it harder to get support. It shifts the focus from simply providing aid to building a country's ability to fund itself, which could make aid more effective but also harder to get for the most fragile states.