BRICS effect? Biden to push for IMF and World Bank reforms at G20 summit in Delhi

At a time when the BRICS group of emerging economies are deliberating ways to counter the dominance of West-led financial framework in global trade at the bloc's annual summit in Johannesburg, the White House said that US President JoeBiden will discuss reforms in the World Bank and International Monetary Fund (IMF) during G20 summit in New Delhi next month.

At the G20, Biden "will really focus a lot of his energy while he is there on the modernization of the multilateral development banks, including the World Bank and the IMF," the White House said.

The aim is to ensure that the development banks offer "high standard, high leverage solutions" to the challenges developing countries face, it was announced.

He called the two institutions "highly effective and transparent".

"World Bank and IMF are a positive, affirmative alternative to what is a much more opaque, or coercive method" of development finance China is offering, the White House said.

The United States will push proposals in New Delhi that will increase World Bank and IMF lending power by some $200 billion, US National Security Adviser Jake Sullivansaid.

But Sullivan stressed thatas a member of the G20 and a key partner in the IMF and World Bank, China is central to modernising both institutions.

"So our support for the World Bank and the IMF is not against China," he said.

BRICS not a geopolitical rival to the United States: Jake Sullivan

The BRICS nations -- Brazil, Russia, India, China, and South Africa -- represent a quarter of the global economy, and interest in joining the club has surged with over 20 countries expected to join the grouping upon its conclusion on August 24.

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"We are not looking at the BRICS as evolving into some kind of geopolitical rival to the United States or anyone else. This is a very diverse collection of countries," Sullivan said.

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