World Bank Directors Defy U.S. to Tackle Climate Change

Nineteen of the World Bank's 25 executive directors have supported the bank's ongoing participation in climate change initiatives. This support comes in opposition to the U.S. and some of its allies, emphasizing a commitment to the climate action plan and highlighting a divide in global climate priorities.

Nineteen of the World Bank's executive directors have delivered a clear message of support for the institution's climate change efforts, signaling a significant divergence from the policies of the U.S., the bank's largest shareholder. Directors from the U.S., Russia, Kuwait, and Saudi Arabia refrained from signing the statement.

This joint declaration followed a board meeting where directors, representing 120 countries, reinforced their expectation that the bank adheres to its climate action goals, notably allocating 45% of annual financing to climate-related projects. The timing coincides with upcoming meetings of the World Bank and the International Monetary Fund in Washington.

The European Union has also reiterated its commitment to driving global development banks towards stronger climate change initiatives. Amid criticism from U.S. Treasury Secretary Scott Bessent for an alleged overemphasis on climate issues, the executive directors have boldly reaffirmed the World Bank's leading role by aligning with the Paris climate accord and committing to new initiatives in climate resilience and carbon market development.

(With inputs from agencies.)