Banga is a Wall Street veteran who was born and raised in India as a Sikh. He is currently the vice chairman of the private equity firm General Atlantic. From 2010 to 2020, he was the president and CEO of Mastercard.
“Ajay is uniquely equipped to lead the World Bank at this critical moment in history,” Biden said in a statement. “He has spent more than three decades building and managing successful, global companies that create jobs and bring investment to developing economies, and guiding organizations through periods of fundamental change.”
Malpass, who was nominated by former President Donald Trump, is set to leave the organization at the end of June. On Feb. 15, he unexpectedly announced his departure from the bank. His five-year tenure was due to end in April 2024.
“Last fall, I issued an urgent call ahead of the World Bank and IMF Annual Meetings,“ Yellen said on Feb. 9 in a speech in Washington. ”My reasoning was simple: the world has changed, and we need these vital institutions to change along with it.”
Yellen emphasized the importance of multilateral financial organizations taking decisive action on global issues such as “climate change, pandemics, conflict, and fragility.”
Malpass came under fire last September after declining to answer questions about his belief in human-caused climate change at a conference. He later explained that he had been misunderstood.
The World Bank president is traditionally chosen by the United States, the bank’s largest shareholder; however, support from other member countries such as China, Japan, Germany, France, and the United Kingdom is required.
“Ajay Banga will be a transformative World Bank President as the institution works to deliver on its core development goals and address pressing global challenges, including climate change,” Vice President Kamala Harris said in a statement, noting that Banga has “great insight, energy, and persistence” in promoting economic growth and addressing the root causes of migration.
