World Bank Chief Calls for New Debt Resolution Tools, Blames China for Debt Crises

David Malpass, the president of the World Bank, again singled out China in calling for new debt restructuring mechanisms to help the developing world. Malpass and the International Monetary Fund’s managing director Kristalina Georgieva told reporters that rising interest rates are exacerbating a debt crisis among developing countries already struggling with the pandemic and spiking food prices.

In a separate interview with Bloomberg, Malpass said “the world needs to have a resolution process for debt that’s more robust than we have right now and starts earlier […] The world was set up under the old debt composition, where China wasn’t a big player.”