Axel van Trotsenburg heads the operational business of the World Bank. In the last few years of global multi-crises he has a lot to do. He wants more solidarity – and more funds.
SRF News: The World Bank sent emergency aid to Ukraine in the spring, what aid is it providing today?
Axel van Trotsenburg: After the invasion of Russia, we gave 500 million dollars in emergency aid – so that the state can continue to function, the wages of health workers or pensions can continue to be paid. That was just the beginning. To date, around $18 billion has been mobilized. Of these, 13 billion have been paid out so far. We get grants from all countries, including Switzerland.
Russia has not vetoed these funds?
Russia never vetoed it.
If so much money flows so quickly, does that lead to problems with corruption?
This is one of the reasons so much money is channeled through the World Bank. We have agreed with the government in Kyiv that these funds will be tracked so that they go to the right places.
The government in Kyiv is aware that it must be accountable for the funds.
The Ukrainian government is aware that they have to be accountable and we are working very closely together.
Is the corona pandemic the biggest setback in the fight against poverty in recent decades?
Unfortunately, you can say that out loud. For decades, extreme poverty rates have been falling. Now they are rising again. We estimate that around 100 million people are living in extreme poverty as a result of the pandemic.
We also see long-term consequences of the corona pandemic in the education system.
We also see long-term consequences in the educational system. Hundreds of millions of children are not in school. What is worse, many do not return, especially girls.
At the climate conference in Sharm El-Sheikh there were calls for the World Bank to become more involved. Is this requirement realistic?
The World Bank sees climate change as a crucial global challenge that we all need to work on. That is why we have constantly expanded our commitment. Before the crisis, the World Bank accounted for 44 percent of all multilateral financing worldwide. Now it’s 55 percent.
The African countries are not responsible for the emissions – but are disproportionately affected by climate change.
It is important that the countries in Africa in particular receive help in the area of climate change. They are not responsible for the emissions, but are disproportionately affected by climate change.
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Climate change is leading, among other things, to increasingly severe storms. And southern countries are more affected than the northern industrialized countries. However, the industrialized countries are primarily responsible for global warming.
Reuters/Romeo Ranoco
As the challenges have changed so much, there are calls for reforms at the World Bank. Where are these?
It is very important for the World Bank to constantly adapt to the new realities. The most important question is: What is the ambition in the coming decades to tackle these problems?
We are discussing the financing of the upcoming problems with our members – huge amounts are needed.
We have now prepared a paper for our board, where we will discuss the strategic issues with our member states – especially those of financing. Because huge amounts are required.
What role does Switzerland play at the World Bank with its small voting rights?
It depends on how active a country is on the Board and how committed a country is to development. Switzerland is a very committed country. And if you make good contributions to the discussions, you can have a disproportionate influence in the World Bank. Switzerland has done this successfully in the past. What I have often noticed is that it is precisely countries that do not belong to the G7 that bring in ideas that are then adopted by the G7.
The conversation was conducted by Karoline Arn.