The World Bank has confirmed it will completely phase out its lending operations in China by 2031, marking the end of a decades-long financial relationship with the world's second-largest economy.
The decision is outlined in the institution's newly drafted country partnership framework, which formalizes the exit strategy previously reported by wire services.
The move reflects a broader strategic recalibration by the multilateral lender, which is increasingly focusing its resources on lower-income countries and emerging markets that face greater financing gaps.
As China's economy has matured and its domestic capital markets have deepened, the need for concessional World Bank financing has diminished, prompting the institution to reallocate its portfolio.
This development underscores the shifting dynamics in global development finance.
The World Bank's exit from China is not an isolated event but part of a larger trend where multilateral institutions are adjusting their portfolios to address evolving global needs.