The International Development Association (IDA) is a part of the World Bank Group, which provides preferential loans for development projects and planning in poor countries. The background of the establishment of the International Development Association is that the developing countries in Asia, Africa and Latin America are very backward in economy, with heavy foreign debt burden and serious shortage of their own funds, and they urgently need to obtain a lot of foreign funds to get rid of their difficulties and develop their economies. However, at that time, the loan threshold of IBRD was high, and the number of loans was limited, which could not meet the demand of interest-free and low-interest loans in poor countries. Therefore, in 1958, the World Bank Group established a development international financial mechanism to provide preferential loans to poor countries. This is the International Development Association, which started business on 1960. The purpose of the International Development Association is to help eligible low-income countries in the world to provide long-term preferential loans, and to help these countries accelerate their economic development and improve their productivity, thus improving their living standards and people's lives.