Introduction toJames D. Wolfensohn

James David Wolfensohn is a surprising figure. A wildly successful investment banker, he nonetheless found time to take up the cello in middle life; he would cross the Atlantic on Concorde, buying two seats so that his cello could fly with him. A corporate insider, he nonetheless identified with the world’s least fortunate; he took an interest in international family planning, the environment, and AIDS, even as he was merging and restructuring the world’s leading companies. Appointed to lead a World Bank known chiefly for prescribing macro-economic austerity, Wolfensohn distanced the institution from both macro-economics and prescriptions. He spoke the language of poverty-fighting groups such as Oxfam, and demanded social justice; and after his first press conference, the World Bank’s chief spin doctor, who was concerned that the Bank not be seen as ‘soft’, remarked that Wolfensohn had not been ‘on message’. ‘He’s the President,’ another official said. ‘I think you’ll find that is the message.’ Since that exchange in 1995, Wolfensohn has reshaped the Bank, a formidable, sprawling institution with nearly ten thousand employees and projects in about one hundred countries. The emphasis on macro-economic structural adjustment, which had dominated the Bank’s programmes since the start of the 1980s, was phased out; questions of governance— the transparency of political institutions, the level of corruption, the quality of judicial or media or civil society oversight—came to preoccupy the Bank almost as much as price signals and sound budgeting. Before Wolfensohn’s arrival, the Bank’s apolitical charter was thought to put these governance issues at least partially off limits. But in a speech in 1966, Wolfensohn denounced ‘the cancer of corruption’, and a taboo that had lasted since the Bank’s creation in 1944 was abruptly shattered. Wolfensohn’s focus on poverty and social justice come through strongly in his contribution to this volume. Before his arrival at the Bank, the institution was often vilified for technocratic elitism: its officials’ idea of ‘field work’ was a meeting with a finance minister in a five-star hotel, according to the critics. But in this lecture we find Wolfensohn recounting the life of a poor mother in a Brazilian slum, and explaining that the worst feature of poverty is ‘voicelessness’.