China Boosts Development Bank Funding Tenfold Since 2010 While Voting Power Lags Economic Weight
China has increased its funding for multilateral development institutions tenfold since 2010, reaching $3 billion for development banks in 2024, according to a study released by the Center for Global Development. Reuters reported that despite the surge in financial contributions, Beijing’s voting power and institutional presence in global bodies still lag its status as the world’s second-largest economy. The report was published ahead of the annual meetings of the International Monetary Fund and World Bank in Bangkok.
Selective Funding Focuses on Climate and Banks While Cutting Vaccine Support
Beijing’s funding for United Nations development-related bodies surged by 47% in 2024, alongside a sharp increase in multilateral climate finance to $5.25 billion for 2025. However, the study notes that China’s funding decisions remain selective. The country slashed its support for Gavi, a public-private partnership procuring and distributing vaccines in low-income countries, by 32%. Ian Mitchell, co-author of the report, stated that the financial step-up from 15 years ago still represents a tiny share of China’s economy. Mitchell pointed out that China has not supported much of the UN voluntarily, has virtually ignored vertical funds, and has continued its bilateral efforts at a smaller scale.
Beijing Fills WHO Gaps But Falls Short of Replacing Western Outlays
Co-author Beata Cichocka stated that China made large contributions to the World Health Organization while the United States withdrew from the body. Cichocka noted further that Washington and other Western nations—many of which have scaled back their development spending—were not seeing all of those vacancies filled by Beijing. The study revealed that only 11% of Beijing’s contributions to UN entities were voluntary, which Mitchell described as a telling sign of China’s strategic emphasis, contrasted with over 70% of US contributions being voluntary.
Stalled Shareholder Reforms at the IMF and World Bank
China has long pushed for a larger role at the World Bank and IMF to reflect its economic size and contributions. China’s shareholding in the World Bank sits at around 6%, which is less than half of what the fund’s own economic formula suggests, whereas the United States retains veto power with a shareholding of around 16%. Officials from the United States and other Western nations have delayed adjustments to the ownership and voting structures of the World Bank and IMF, contending that transparency is lacking on China’s part and that agreement on revisions is absent.
Shift From Major Borrower to Major Donor at the International Development Association
Following a $1.5 billion commitment during the most recent replenishment cycle, China currently stands as the fifth-biggest contributor to the International Development Association, the World Bank’s specialized fund for low-income nations. The study showed that China also boosted funding for zero- and low-interest multilateral bank lending programs by 92% over the last five years. Meanwhile, China has sharply reduced its own borrowing from development banks as it nears high-income status, with total borrowing falling to $4.7 billion in 2024 from $8 billion in 2021. Once the World Bank’s biggest borrower in 2017, China now ranks 18th, and the bank announced it will stop all lending to China after 2031.
Management Presence Holds Steady Amid Leadership Losses at UN Agencies
The tally of leadership roles held by Chinese nationals across the World Bank and other multilateral development institutions has stayed constant at five since 2021. Conversely, Beijing has lost top jobs at several UN institutions since 2020, including the WHO and the International Telecommunication Union, according to the study.
Frequently Asked Questions About China’s Multilateral Funding
What specific financial pledges did China make to multilateral institutions for 2024 and 2025?
China’s funding for development banks reached $3 billion in 2024, and its support for multilateral climate finance rose to $5.25 billion for 2025. Beijing previously pledged $1.5 billion to the International Development Association during its last replenishment.
How does China’s voluntary funding for UN entities compare to that of the United States?
Only 11% of Beijing’s contributions to UN entities are voluntary, according to Center for Global Development co-author Ian Mitchell, whereas over 70% of US contributions are voluntary.
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