Interview
The World Bank chief on Donald Trump
- A global shift toward higher tariffs and retaliatory measures by other nations is expected, driven by US policy pushes and regional or bilateral trade deals, though this may not constitute a 1930s-style tariff war.
- Climate-related financing for schools, roads, and hospitals is projected to reach 45% by 2025, with current levels at 44%, while local currency financing currently accounts for almost 33-35% of total lending.
- Guarantees issued by the bank have already doubled compared to levels from a year and a half ago and are anticipated to grow further, potentially through the acquisition of first-step junior equity in projects.
- Future energy investment discussions will encompass nuclear, gas, geothermal, solar, and wind, with current nuclear financing restricted largely due to cost until small modular reactors become viable.
- Developing nations' manufacturing and job creation, particularly in Africa, will rely heavily on local and regional consumption, with uncertain implications for their specific situation relative to previous periods.
- While increased fundraising under the Trump administration could expand available funds, current resources remain inadequate, and the evolving global trading system is expected to continue changing through various policy tools.