The World Bank will phase out its lending to China by 2031, according to the organisation’s new country partnership framework, a source familiar with the matter told AFP on Tuesday.
The source confirmed an earlier report of the development by the Financial Times.
“China has made significant development advances over the past several decades — progress that the World Bank and others have supported,” said a World Bank official familiar with the matter, speaking on condition of anonymity.
“Now we are reaching a new phase of our relationship, reflecting that reality.”
World Bank lending to China — the world’s second-largest economy — has steadily declined in recent years as the Asian giant saw explosive growth and a reduction in poverty indicators.
In his first term in office, US President Donald Trump demanded that the World Bank stop lending to China entirely, as he adopted a more aggressive approach to Washington’s chief economic rival.
