Indian-Origin Ajay Banga To Head World Bank U.S. President Joe Biden said that Banga will be a transformative leader, bringing expertise, experience, and innovation to the position of World Bank President
By Teena Jose
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The executive directors of the World Bank, on Wednesday, have selected Indian-American businessman Ajay Banga as the World Bank president for a term of five years, beginning June2, 2023. He is the first Indian-origin nominee for the World Bank president's role.
"The Executive Directors followed the selection process agreed by shareholders in 2011. The process included an open, merit-based, and transparent nomination where any national of the Bank's membership could be proposed by any Executive Director or Governor through an Executive Director. This was then followed by thorough due diligence and a comprehensive interview of Banga by the Executive Directors. The Board looks forward to working with Mr Banga on the World Bank Group Evolution process," said the World Bank in a statement..
U.S. President Joe Biden congratulated Banga, who was nominated by Biden for the post. Biden reportedly said he will be a transformative leader, bringing expertise, experience, and innovation to the position of World Bank President.
"And together with World Bank leadership and shareholders, he will help steer the institution as it evolves and expands to address global challenges that directly affect its core mission of poverty reduction—including climate change. Ajay will also be integral in bringing together the public and private sectors, alongside philanthropies, to usher in the fundamental changes in development finance that this moment requires," said the U.S. President, as per reports.
Banga was Honorary Chairman of the International Chamber of Commerce, serving as Chairman from 2020-2022. He became an advisor to General Atlantic's climate-focused fund, BeyondNetZero, at its inception in 2021. Banga served as Co-Chair of the Partnership for Central America, a coalition of private organizations that works to advance economic opportunity across underserved populations in El Salvador, Guatemala, and Honduras. He was previously on the Boards of the American Red Cross, Kraft Foods, and Dow Inc.
Former World Bank president David Malpass had announced his decision to step down from his position as the head of WB a year prior to his tenure ending in 2024.
"This afternoon, I shared with the World Bank Group's Board of Directors my intention to step down by the end of the World Bank's fiscal year. Serving as President of the World Bank Group has been my enormous honor and privilege. I am deeply grateful for the support of the Executive Directors, Officers, and staff across all five World Bank Group institutions," the resignation noted.
The President of the World Bank Group is also the Chair of the Board of Executive Directors of the International Bank for Reconstruction and Development (IBRD). The President is also ex officio chair of the Board of Directors of the International Development Association (IDA), International Finance Corporation (IFC), the Multilateral Investment Guarantee Agency (MIGA), and of the Administrative Council of the International Centre for Settlement of Investment Disputes (ICSID).
