China's response to buzz about World Bank's plans is making waves . On Wednesday, Ministry of Finance clarified that nation's growing economy and shifting priorities mean moving from old financing models to focusing on sharing knowledge .
World Bank might cut its sovereign lending to China to max US$2 billion between 2026 and 2031. Lending could stop after that. Ministry said this aligns with global practices among lender's member nations. China's economic rise has changed its relationship with World Bank.
Beijing plans to focus on knowledge exchange while keeping ties with World Bank on global issues and initiatives for developing nations. All this as U.S. pressures international development banks to limit aid to China.
World Bank officials call this a "new phase" in work with China,highlighting country's significant economic strides . French Hill,head of US House Financial Services,backs World Bank's move. Calls it needed change for responsible lending. Says, “As world's largest official creditor,China shouldn't get development funds meant for needier countries.” He's hopeful Asian Development Bank will do same soon...
