World Bank, IMF important to balance China: US treasury chief

ISTANBUL

US Treasury Secretary Janet Yellen said Tuesday that international financial institutions (IFIs), such as the World Bank and the International Monetary Fund (IMF), are important in balancing China.

"These institutions reflect American values. Assistance from the IFIs comes with strong requirements for governance, accountability, and debt sustainability. It serves as an important counterweight to nontransparent, unsustainable lending from others like China," Yellen said during testimony before the Committee on Financial Services at the House of Representatives.

"The past few years have demonstrated the importance of these institutions as part of our broader economic and foreign policy toolkit," she said. “The international financial institutions advance US national interests by fostering a more resilient global economy."

Yellen noted that the IMF approved a $15 billion economic program for Ukraine earlier this year, which will help the country's immediate financing needs.

She added that the World Bank aims to unlock as much as $50 billion in additional lending capacity over the next decade.

The treasury chief said IFIs provide resources to tackle challenges the world faces, such as overcoming economic difficulties and encouraging long-term economic development.