Washington DC: US Treasury Secretary Scott Bessent urged the International Monetary Fund (IMF) and the World Bank to refocus on their founding missions during his speech at the Institute of International Finance's Global Outlook Forum. He expressed a willingness to collaborate with the institutions as long as they adhere to their original objectives.
According to Anadolu Agency, Bessent emphasized the historical context in which these institutions were established, highlighting the need for better alignment between national interests and international stability. He stressed that reconnecting the IMF and the World Bank with their founding missions is crucial to bringing order to the international system. Bessent pointed out that the institutions have strayed from their mandates and called for significant reforms to ensure they effectively serve their stakeholders.
Bessent reiterated the Trump administration's commitment to maintaining and enhancing US global economic leadership. He underscored the critical roles the IMF and World Bank play in the international system and stated the administration's eagerness to work with them, provided they remain true to their missions. He also emphasized the importance of accountability and real progress within these organizations.
Furthermore, Bessent clarified that the 'America First' approach is not about isolation but rather a call for deeper collaboration and mutual respect among trade partners. He expressed the US's desire to increase American leadership within international institutions like the IMF and the World Bank, aiming to restore fairness in the global economic system.
Addressing trade imbalances, Bessent cited recent US actions to rebalance global trade, noting that over 100 countries reached out to Washington following President Trump's tariff announcement. He mentioned ongoing negotiations with other countries and highlighted the need for China to rebalance its export-based economic model, which he described as unsustainable and harmful to the global economy. Bessent called for China to support its consumers and domestic demand to contribute to the necessary global rebalancing.