Debt, crises and ungenerous donors: The new World Bank president must work miracles

Frankfurt a. M., 10/06/2023: In an article in the FAZ on the new World Bank President Ajay Banga, Stefan Liebing has his say.

According to the author of the article, high interest rates and large debts are darkening the prospects of the poorest countries to get off the ground. For him, it seems out of date for rich countries like Germany and the United States to use the World Bank more as an institution to finance climate projects and other projects of global benefit without strengthening its financial base, when many countries are struggling for financial survival.

Liebing says that rising global inflation and corresponding interest rates are now making it increasingly difficult, if not impossible, to economically present energy projects in Africa today. He believes that the decade of great economic opportunities in Africa and green electrification is over for the time being due to the global economic situation.

Full article (paywall):