World
Biden nominates former Mastercard CEO Ajay Banga to head World Bank
US President Joe Biden nominated former Mastercard Inc (MA.N) CEO Ajay Banga to lead the World Bank, betting the India-born executive’s ties to the private sector and emerging markets will jump-start the 77-year-old institution’s overhaul to better address climate change, Reuters reported.
Biden’s nomination on Thursday of Banga, 63, now a US citizen, all but assures he will assume a job that oversees billions of dollars of funding, as it races to help developing countries address climate change.
The World Bank (WB) on Wednesday said it expects to select a new president by early May to replace David Malpass, who announced his resignation last week after months of controversy sparked by his initial refusal to say if he accepted the scientific consensus on climate change, and pressure by Treasury Secretary Janet Yellen for him to adopt “bolder” reforms, read the report.
“I think the speed of the nomination, less than 48 hours after the WB board launched the process, reflects a desire to discourage any challengers and wrap it up quickly,” said Scott Morris, a senior fellow at the Center for Global Development and a former US Treasury official.
Biden noted Banga’s decades of experience building global companies and public-private partnerships to fund responses to climate change and migration and said he had a proven track record working with global leaders, Reuters reported.
“Ajay is uniquely equipped to lead the World Bank at this critical moment in history,” Biden said in a statement, hailing the business executive’s Indian roots and knowledge of the challenges facing developing countries and ability to mobilize private capital to tackle big problems.
Banga’s work in India and other emerging markets, his “obsession” with expanding financial inclusion, and his deep knowledge of new technologies could help bridge the divide between rich countries and emerging markets, said Luis Alberto Moreno, who worked closely with Banga while serving as president of the Inter-American Development Bank.
“He can really be a force for change,” Moreno said, noting that Banga enjoyed the trust of financial markets.
India was expected to support Banga’s candidacy, according to Krishnamurthy Subramanian, the former top economic adviser to the Indian government who now serves as India’s executive director at the International Monetary Fund. “It’s an elegant solution.”
DIVERSITY
The bank has historically been headed by someone from the United States, its largest shareholder, while a European heads the International Monetary Fund (IMF), but developing countries and emerging markets have pushed to widen those choices.
Banga’s nomination is the first to be made public, but the bank will accept nominations from other member countries through March 29. Germany, another major shareholder, this week said the job should go to a woman since the bank has never been headed by a woman, Reuters reported.
A senior US administration official said they did not know if other countries would nominate candidates for the post.
Asked about Washington’s decision not to nominate a woman, the official said Banga had “a personal conviction and excellent track record promoting diversity, equity and inclusion in the work that he does” and would bring that view to the bank.
But Jeff Hauser, who heads the progressive Revolving Door Project, demanded Biden retract the nomination of a top official from a “rapacious international private equity firm” who had previously worked only in private sector firms.
“Neither private equity, nor MasterCard, nor Citigroup, nor PepsiCo, nor Nestlé, nor Dow promote shared prosperity. They all do vastly more to exacerbate inequality than to fight it,” he said in a statement.
Oxfam International said the next bank president should be chosen through a transparent global process. “The World Bank is not a US bank, a commercial bank, or a private equity firm. For a job of this stature, we need more than a tap on the shoulder from President Biden.”
Banga is vice chair of General Atlantic, a US private equity firm that administration officials said has invested over $800 million in EV charging solutions, solar power and sustainable farming, read the report.
He retired in December 2021 after 12 years at the helm of Mastercard, where administration officials noted that he helped 500 million unbanked people join the digital economy, averted layoffs of the bank’s 19,000 employees during the COVID-19 pandemic, and led work on climate, gender and sustainable agriculture.
Vice President Kamala Harris said Banga brought “great insight, energy and persistence” to his role as co-chair of the Partnership for Central America, which has mobilized $4.2 billion in public, private and nonprofit funds to advance economic opportunity in northern Central America.
World
First Muslim US senator-elect El-Sayed calls for review of aid to Pakistan
He also called for restrictions on US arms sales to Israel, alleging that some American-supplied weapons were being used in actions involving what he described as genocide and apartheid.
Abdul El-Sayed, the first Muslim elected to the US Senate, has called on Washington to reconsider its financial and military assistance to Pakistan and several other countries, arguing that American taxpayer money should not be used to support violations of international law.
El-Sayed, a Democrat who recently defeated Republican candidate Mike Rogers in Michigan, said the United States must ensure that its foreign assistance policies are consistent with international law.
In an interview with ABC, he stressed that the issue should not be limited to Israel, but should also include Pakistan, Egypt and Jordan.
“When we are giving money to a country that is using our money to violate international law, that seems to me a good place to start,” El-Sayed said.
His remarks come after US President Donald Trump announced plans to end approximately $4 billion in annual military assistance to Israel by the end of the year.
El-Sayed welcomed Trump’s proposal to reduce military aid to Israel, saying he agreed with the president’s approach.
He also called for restrictions on US arms sales to Israel, alleging that some American-supplied weapons were being used in actions involving what he described as genocide and apartheid.
The United States currently provides Israel with $3.8 billion in annual military assistance under an agreement that remains in effect until 2028.
However, El-Sayed’s criticism extends beyond Israel. He has also questioned US military assistance to Egypt, Saudi Arabia, Jordan and Pakistan, arguing that American taxpayer money should instead be directed towards domestic priorities.
World
Houthi-run health ministry says airstrikes kill 33 near Yemen capital
The ministry said the strikes hit homes in the town of Bani Hushaysh, a Houthi stronghold east of Sanaa, and that most of those killed were women and children.
At least 33 people were killed and 39 wounded in what the Houthi-run Saba news agency said were Saudi airstrikes on a village near Yemen’s capital Sanaa on Saturday, in one of the deadliest reported attacks since fighting between Saudi Arabia and the Iran-aligned group resumed in July.
Reuters could not independently verify the account. Saudi Arabia’s Center for International Communication said it was investigating the report.
The renewed fighting between Saudi Arabia and the Houthis has shattered a 2022 UN-brokered truce that largely halted attacks between the Saudi-led coalition and the group, which controls Sanaa. The Houthis have since launched missile and drone attacks on Saudi airports and oil facilities, while Riyadh has carried out airstrikes in Yemen in support of its Yemeni allies.
The ministry said the strikes hit homes in the town of Bani Hushaysh, a Houthi stronghold east of Sanaa, and that most of those killed were women and children.
Abdul-Aziz al-Dailami, director of Sehatuna Hospital in Sanaa, said many victims remained trapped under the rubble, including first responders.
“The strikes keep coming. Just as rescuers arrive, another strike hits. We have even lost some of our own medical responders, who have been martyred,” he told Reuters.
“We received a number of wounded individuals in very critical condition, with injuries to the head, chest and legs, as well as fractures,” al-Dailami added.
The fighting, a spillover from the wider US-Iran conflict, has revived a complex 12-year war in Yemen that has caused one of the worst humanitarian crises globally and fragmented the Arab world’s most impoverished country.
The number of people displaced since the latest round of fighting began has climbed to more than 200,000, the International Organization for Migration said in October.
World
White House declares ‘Trump is still your president’ after Republicans suffer sweeping midterm defeats
The White House has issued a defiant message following a crushing performance by Republicans in the US midterm elections, declaring that Donald Trump remains president despite significant gains by the Democrats.
In a post on X on Wednesday, the White House shared an image of Trump bearing the words: “TRUMP IS STILL YOUR PRESIDENT.” The accompanying message added: “Thank you for your attention to this matter.”
The statement came after Democrats secured a Senate majority and made major gains in traditionally Republican strongholds, including Texas, Kansas, South Carolina and Ohio.
The midterm elections, which determine control of Congress, were widely viewed as a referendum on Trump’s presidency. All 435 seats in the House of Representatives and 35 of the 100 Senate seats were contested.
The war in Iran and mounting cost-of-living pressures were among the issues believed to have contributed to the Republican setbacks.
Trump acknowledged that the conflict with Iran had affected the election results, particularly through its impact on fuel prices, but defended his decision to pursue the war.
Speaking to Politico, he said the conflict had pushed gasoline prices higher in the short term, but maintained that military action was necessary in the long run.
Iranian officials welcomed the election outcome. Parliament Speaker and chief negotiator Mohammed Bagher Ghalibaf wrote on X that American voters had rejected war, saying: “Conscience or the cost of living, Americans said NO TO WAR.”
Trump also reflected on his campaign rallies, saying the enthusiasm surrounding his appearances had failed to translate into support for Republican candidates.
“They just couldn’t transfer that love,” he said.
Although Trump indicated he was prepared to work with Democrats, he warned that political gridlock could follow, threatening to use his presidential veto to block their legislative agenda.
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