Biden Pledges $4 Billion to World Bank Fund for Poorest Countries

President Joe Biden announced a “historic” $4 billion pledge over the next three years to the World Bank’s International Development Association (IDA), aiming to bolster support for the world’s poorest countries.

The announcement was made during a closed session at the G20 summit in Rio de Janeiro on Nov. 18,  according to Reuters.

“Now we need to make sure the World Bank can continue its work in the most vulnerable countries,“ Biden said. ”Right now, I’m proud to announce the United States is pledging $4 billion over the next three years for the World Bank International Development Association.

“The IDA is the first responder in the world’s poorest countries. I encourage everyone around this table to increase their pledges in December.”

The IDA is a segment of the World Bank that assists low-income countries by providing grants and low-interest loans “to invest in their futures, improve lives, and create safer, more prosperous communities.”

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The U.S. pledge significantly exceeds the $3.5 billion committed in the previous IDA replenishment round in December 2021.

U.S. deputy national security adviser Jonathan Finer told reporters earlier in the day that the pledge was “historic” and that funds would directly benefit the world’s poorest nations, according to Reuters.

“In addition, we have to mobilize private capital at scale,” Biden said. “I’m proud of my country’s work on this front, including mobilizing $60 billion through the Partnership for Global Infrastructure and Investment.”

The president also addressed other global issues during the summit, emphasizing the importance of supporting Ukraine.

“The United States strongly supports Ukraine’s sovereignty and territorial integrity,“ Biden said. ”Everyone around this table, in my view, should as well. And by the way, Russia’s invasion of Ukraine led to the highest recorded food prices in all of history.”

Discussing the situation in Gaza, the president stressed the need for humanitarian efforts and a cease-fire.

“As I’ve said before, Israel has the right to defend itself after the worst massacre Jews have endured since the Holocaust,” Biden said. “But how it defends itself, even as Hamas hides among civilians, matters a great deal.

“The United States has led the world in humanitarian aid to Gaza, and we’re going to keep pushing to accelerate a cease-fire deal that ensures Israel’s security, brings hostages home, and ends the suffering of the Palestinian people and children. I ask everyone here to increase the pressure on Hamas, which is currently refusing this deal.”

Biden encouraged G20 nations to continue collaborating to address global challenges.

“This is my last G20 summit,” he said. “We have made progress together. But I urge you to keep going, and I’m sure you will regardless of my urging or not.

“This group has it within its power to usher in a new era of sustainable development, to go from billions to trillions in assistance to those most in need. This all may sound lofty, but this group can lay the foundation to make that achievable.”

Reuters contributed to this report.