World Bank President Ajay Banga has urged developing countries to accelerate trade agreements with the United States to boost economic growth and enhance global integration.
Speaking at a virtual panel session during the World Bank and IMF Spring Meetings in Washington, D.C., on April 25, 2025, Banga emphasized the importance of leveraging trade partnerships to address economic challenges in low- and middle-income countries. His remarks come amid concerns over rising protectionism and the potential impact of U.S. tariffs under the incoming administration of President Donald Trump.
Banga highlighted that trade deals with the U.S. could provide developing nations with access to larger markets, attract foreign direct investment, and foster technology transfers. He cited the African Continental Free Trade Area (AfCFTA) as an example of regional integration that could be complemented by bilateral agreements with the U.S. to drive industrialization and job creation. However, he cautioned that countries must improve regulatory frameworks, reduce trade barriers, and invest in infrastructure to maximize the benefits of such deals.
The World Bank chief’s call to action follows Nigeria’s efforts to strengthen economic ties with the U.S., including through the One-Stop Investment Center (OSIC), which facilitates investor services. Banga’s comments have sparked discussions among African policymakers, with some advocating for faster negotiations under frameworks like the U.S.-Africa Trade and Investment Program.
Critics, however, warn that developing countries must ensure trade deals are equitable to avoid exploitation and protect local industries. Banga reiterated the World Bank’s commitment to supporting trade reforms through financing and technical assistance, projecting that such efforts could lift millions out of poverty by 2030.