The World Bank’s fund for the world’s poorest nations will receive $3.2 billion in Trump’s budget

President Donald Trump on Friday requested that Congress authorize $3.2 billion in donations to the International Development Association (IDA) of the World Bank, which offers low- or no-interest loans to the world’s poorest nations.

The amount, which would be paid over three years, was praised by international financial experts as a welcome surprise in light of previous concerns that Trump might forego making any IDA contributions.

Joe Biden, the former president, promised to provide $4 billion, but the funds have not yet been moved.

Sources involved with the process stated that even while the new sum is less, it will still assist the World Bank reach its target of raising $100 billion for IDA by leveraging national contributions. The U.S. Congress makes the ultimate choice.

When asked if the Trump administration would adhere to the $4 billion pledge, Treasury Secretary Scott Bessent said the amount would be determined in the budget, with a lot relying on the International Monetary Fund’s head and World Bank President Ajay Banga’s actions to refocus the institutions on their primary goals.

Vice President Clemence Landers of the Center for Global Development praised the IDA budget proposal.

Amidst severe funding cuts to the U.S. foreign assistance system, the U.S. IDA statistic is a rare bright spot, she added. “There has been significant speculation about the U.S. role in the international financial institutions under Trump, and whether the U.S. would pay into IDA at all.”

A senior official with the Office of Management and Budget told reporters that the budget proposal that Trump released on Friday removes $49 billion from foreign aid.

$555 million in funding for the African Development Bank and the African Development Fund was reduced, according to White House documents, since it was “not currently aligned” with the administration’s priorities.

The budget proposal did contain $3.2 billion for IDA, but it also suggested that other institutions and contributors shoulder a larger portion of the expenses.

“This fulfills the President’s promise to no longer dole out foreign aid dollars with no return on investment for the American people,” stated the document.