The World Bank Pivoting to Climate May Be a Problem

The US' deep cuts to clean-energy programmes are raising concerns about its commitments to the lender

- MAX BEARAK & SOMINI SENGUPTA

As the Trump administration imposes deep cuts on foreign aid and renewable energy programmes, the World Bank, one of the most important financiers of energy projects in developing countries, is facing doubts over whether its biggest shareholder, the United States, will stay on board.

While the Trump administration has voiced neither support nor antipathy for the bank, it has issued an executive order promising a review of US involvement in all international organisations. And Project 2025, the right-wing blueprint for overhauling the federal government, has pressed for withdrawal from the World Bank. If the United States were to withdraw, the bank would lose its triple-A credit rating, two credit-rating companies warned in recent weeks. That could significantly reduce its ability to borrow money. Roughly 18% of the bank's funding comes from the United States.