World Bank lending to countries like China hurts poor countries: US

China is the World Bank's biggest borrower with $2.4 billion in loans this year.

A senior US Treasury official has questioned World Bank lending to countries like China that are rich enough to finance their own development.

David Malpass, Treasury's under secretary for International Affairs, cited China as a prime example of the practice that hurts poor countries that need help.

It is worth mentioning here that China is the World Bank's biggest borrower with $2.4 billion in loans this year.

The Trump administration has plans to urge the World Bank to move countries towards graduation, as their economies grow and they are able to access private sources of financing, he told a House subcommittee.

"Many graduation-eligible countries, even those with strong market access, have continued to demand (World Bank) financing," AFP quoted Malpass as saying. "Adherence to the graduation policy has progressively weakened."

Source: AFP


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