The World Bank is preparing to completely cease its lending operations in China by 2031, according to the institution's newly drafted country partnership framework.
A source familiar with the matter told AFP on Tuesday that the phase-out reflects China's economic evolution and its growing role as a contributor to global development efforts rather than a recipient of aid.
42 billion in 2017, according to historical data, before gradually declining as the country's access to domestic and international capital markets expanded.
The decision underscores the shifting dynamics in international finance, where emerging markets are increasingly taking on donor responsibilities.
China's graduation from World Bank borrowing status is not unprecedented; several other economies have followed similar paths as their creditworthiness and fiscal capacity improved.
However, the scale of China's economy makes this transition particularly significant for global capital flows.
World Bank lending to China peaked at $2.42 billion in 2017, according to historical data, before gradually declining as the country's access to domestic and international capital markets expanded.