Trump's World Bank Pick Wants To Curb China Loans

US President Donald Trump on Wednesday tapped a World Bank critic described as a "happy warrior" of pro-growth policies to lead one of the world's primary development lending institutions.

David Malpass, a senior official in the Treasury Department, is a controversial choice but if Trump wins the support of a majority the bank's shareholders, especially European nations, he will have the opportunity to reshape the bank.

Trump called Malpass "an extraordinary man" who and "the right person to take this incredibly important job."

"America is the largest contributor to the World Bank," he said. "My administration has made it a top priority to insure that US taxpayer's dollars are spent effectively and wisely."

Trump and his team have attacked multilateral institutions in the two years he has been in office, and Malpass has led the charge against the World Bank and the International Monetary Fund.

Malpass has called the international financial institutions' lending practices "corrupt" and complained about financing to China and other relatively more well-off countries that he says should have graduated from the institutions.

Speaking at the White House, Malpass said he would seek to implement reforms approved last year after negotiations to increase the bank's lending capital by $13 billion, such as curbing loans to and charging higher interest to higher income countries like China.

One official called Malpass a "happy warrior and champion of pro-growth policies" who is dedicated to "bringing economic growth to low income countries."

However, they confirmed that Malpass, who is part of the delegation engaged in high-stakes trade talks with Beijing, would advocate for a wind down of lending to China, which they said had sufficient resources of its own. (AFP)