Friday , January 18 2019
Breaking News

World Bank President steps down

World Bank President, Jim Yong Kim, has made the surprise announcement that he is stepping down after six years in the post.

His resignation will take effect from 1 February.

Mr Kim, 59, was not due to leave until 2022, after he was re-elected for a second five-year term in 2017.

He will “join a firm and focus on increasing infrastructure investments in developing countries”, the World Bank said.

In a statement, Mr Kim said: “It has been a great honour to serve as President of this remarkable institution, full of passionate individuals dedicated to the mission of ending extreme poverty in our lifetime”.

No reason was given for his unexpected resignation.

Kristalina Georgieva, the World Bank’s chief executive officer, will assume the role of interim president.

In April, Mr Kim bowed to pressure from the Trump administration over loan payments to China. The World Bank agreed to change its lending structure in order to secure a $13bn capital increase.

The World Bank has a remit to finance international development projects. Formed in 1947 to help rebuild European countries devastated by World War II, it supports infrastructure projects with traditional loans, interest-free credits, and grants.

Mr Kim, who was born in Seoul, South Korea, trained as a medical doctor before rising through the ranks at the Bank.

He was nominated by former president Barack Obama for both his first and second term at the head of the World Bank.

The World Bank said it would “immediately start the process” of appointing a replacement.

Traditionally, the president of the World Bank has been nominated by the US, while the head of its sister institution, the International Monetary Fund has been picked by European countries. However, when Mr Kim was first appointed in 2012, there was growing pressure from countries in the southern hemisphere for a candidate from an emerging market country to be chosen.

Positioned at 41 in Forbes’ Power People 2018 list, Mr Kim has presided over the dispersal of billions of dollars of World Bank funding. In 2018, the multilateral institution made financial commitments worth $67 billion.

  • BBC

 

About Lanre Oyetade

A multiple award winner in Economics and business journalism, Lanre Oyetade has served close to two decades in the media industry, spanning different notable stables, where he is privileged to have risen to the position of a title editor. A masters degree holder in Economics from the University of Lagos and doctoral student at the Babcock University, he is a winner of the prestigious NMMA Capital Market Award for two consecutive years (2004 & 2005), and was also a nominee for the body’s banking and finance and money market awards for two years. In 2013, he also won the Most Outstanding Business-Reporting Title Editor award of the National Institute of Marketing of Nigeria (NIMN). A minister in the LORDS’s vineyard, he has been an inspirational speaker and resource person at many corporate and religious fora since early 2004, and has so far authored three books on the capital market; on personal effectiveness, and on personal finance, in 2008 and 2014, respectively.