World Bank Promises ‘Concessionality’ in Debt Restructuring

World Bank President David Malpass speaks during an event about trade at the headquarters of the World Bank February 14, 2023, in Washington, DC. (AFP)
World Bank President David Malpass speaks during an event about trade at the headquarters of the World Bank February 14, 2023, in Washington, DC. (AFP)
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World Bank Promises ‘Concessionality’ in Debt Restructuring

World Bank President David Malpass speaks during an event about trade at the headquarters of the World Bank February 14, 2023, in Washington, DC. (AFP)
World Bank President David Malpass speaks during an event about trade at the headquarters of the World Bank February 14, 2023, in Washington, DC. (AFP)

The World Bank will "provide as much concessionality to the debt treatment" for distressed economies as possible, its president told a meeting with the International Monetary Fund, India, China, and other creditor nations on Saturday.

The remarks come amid calls by China, the world's largest bilateral creditor, that global lenders should take haircuts on loans extended to developing nations hurt by the impact of the Russia-Ukraine war and the COVID-19 pandemic.

The United States, meanwhile, has repeatedly criticized China over its "foot-dragging" on debt relief for dozens of low-and middle-income countries.

"The World Bank is committed to providing net positive flows in a way that maximizes concessionality in the restructuring process," David Malpass said at the Global Sovereign Debt Roundtable in India's Bengaluru city on the sidelines of the G20 financial leaders' meet.

"We will provide as much concessionality to the debt treatment as possible."

Malpass also said that he noted "constructive remarks" by a deputy China central bank governor at a G20 meeting on Friday that "gave room to move forward" on settlement of debt issues.

Reuters reported earlier this month that India, the current president of the G20 bloc, is drafting a proposal for G20 countries to help debtor nations by asking lenders to take a large haircut on loans.

On Friday, Chinese Finance Minister Liu Kun told the G20 financial leaders that international financial institutions and commercial creditors should follow the principle of "joint action, fair burden" in debt settlements.



Saudi Arabia, Russia Seek to Deepen Economic and Industrial Ties

The Saudi and Russian ministers discuss means to promote mutual cooperation. (Saudi Ministry of Industry)
The Saudi and Russian ministers discuss means to promote mutual cooperation. (Saudi Ministry of Industry)
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Saudi Arabia, Russia Seek to Deepen Economic and Industrial Ties

The Saudi and Russian ministers discuss means to promote mutual cooperation. (Saudi Ministry of Industry)
The Saudi and Russian ministers discuss means to promote mutual cooperation. (Saudi Ministry of Industry)

Saudi Arabia and Russia have stepped up efforts to strengthen their economic and industrial partnerships, as Minister of Industry and Mineral Resources Bandar Al-Khorayef led a high-level Saudi delegation to the INNOPROM 2025 International Industrial Exhibition in Yekaterinburg, Russia.

Opening the Saudi pavilion - where the Kingdom is participating as the exhibition’s partner country - Al-Khorayef underscored more than a century of strategic relations and robust economic ties that, he said, form the basis for expanding trade, investment, and cooperation in key sectors including mining, manufacturing, and technology.

The Saudi delegation includes officials from 18 government entities and 20 leading companies spanning industrial services, automation, machinery, metals, energy, and advanced manufacturing.

The pavilion is showcasing the Kingdom’s competitive advantages as an investment hub, along with opportunities identified in Saudi Arabia’s National Industrial Strategy.

Promotional events highlighted financial incentives, including funding solutions from the Saudi Industrial Development Fund and the Saudi EXIM Bank, as well as Saudi Arabia’s rapidly developing infrastructure, industrial cities, special economic zones, and specialized complexes aimed at supporting investors.

During the exhibition, Al-Khorayef and Russian Minister of Industry and Trade Anton Alikhanov met to discuss ways to deepen cooperation. Both ministers stressed the importance of enabling the private sector to seize emerging investment opportunities, and pledged to support joint initiatives that drive industrial development in both countries.

The Saudi minister noted Riyadh’s strong interest in Russian expertise across priority sectors such as heavy equipment, agricultural machinery, chemicals, automotive, and advanced manufacturing technologies. Talks also focused on forging investment partnerships that facilitate knowledge transfer, industrial innovation, and technology localization.

The two sides reaffirmed their commitment to boosting non-oil exports and simplifying market access, aiming to diversify their economies and enhance trade flows.

Saudi Arabia’s participation in the exhibition, officials said, reflects its strategy to build international partnerships that reinforce its standing as a trusted global economic partner.

Recent years have seen steady growth in Saudi-Russian economic ties. Non-oil trade rose from $491 million in 2016 to $3.28 billion in 2024, driven by expanding cooperation in mining, petrochemicals, and advanced industries.

The Kingdom hopes to attract high-value Russian investments, strengthen industrial supply chains, and further develop local capabilities as part of its push for economic diversification and sustainable growth.