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S&P Global Warns of Unprecedented Risk of U.S. World Bank Withdrawal

S&P Global, one of the leading credit rating agencies, has cautioned that a potential U.S. withdrawal from the World Bank and other key multilateral lenders could jeopardize their triple-A credit ratings. This warning comes in response to President Donald Trump's recent Executive Order initiating a review of U.S. support for international intergovernmental organizations, possibly leading to a reevaluation of their involvement or reforms.

Stressing that the current top credit ratings of institutions like the World Bank rely on continued U.S. support, S&P highlighted that any reduction in this backing could result in a negative rating adjustment. The Head of S&P's MDB analysis, Alexander Ekbom, emphasized that the outcome would hinge on the financial impact on these institutions and whether other major stakeholders would step in to offset any potential vacuum.

Ekbom noted that in the event of a U.S. departure, an unprecedented scenario, the reallocation of responsibilities and resources would pose significant challenges for these organizations.