U.S. House Financial Services Committee Chairman French Hill used the Committee’s annual hearing on the international financial system with Treasury Secretary Scott Bessent to press for a “back-to-basics” U.S. posture toward the International Monetary Fund (IMF) and multilateral development banks, arguing they have drifted from their core missions. Hill criticised IMF initiatives on climate change and social policy and called for scrapping the Resilience and Sustainability Facility in favour of focusing on the Poverty Reduction and Growth Trust. He also argued that any future allocation of Special Drawing Rights should require elected lawmakers’ approval, citing the 2021 allocation that provided China with over USD 40 billion in unconditional liquidity, Russia with USD 17 billion, and about USD 5 billion each to Iran and Venezuela. On the World Bank and Asian Development Bank, he said they still approve around USD 1 billion per year for projects in China and urged the Trump Administration to end all assistance to China by the end of President Trump’s term, while welcoming recent openness to financing nuclear energy and calling for renewed emphasis on public health, education and infrastructure.
U.S. Financial Services Committee 2025-05-07
U.S. House Financial Services Committee chair urges Treasury to scrap the IMF Resilience and Sustainability Facility and end multilateral bank support for China
U.S. House Financial Services Committee Chairman French Hill urged a "back-to-basics" approach for the IMF and multilateral development banks, criticizing their climate and social policy focus. Hill proposed eliminating the Resilience and Sustainability Facility, emphasizing the Poverty Reduction and Growth Trust, and requiring legislative approval for future Special Drawing Rights allocations. He urged ceasing all assistance to China, while supporting nuclear energy financing and prioritizing public health, education, and infrastructure.