World Bank President Ajay Banga met Prime Minister Narendra Modi in New Delhi on Thursday amidst escalating tensions between India and Pakistan, particularly after India suspended the Indus Water Treaty. The treaty, which was a key achievement facilitated by the World Bank, has seen the institution play a critical role in its establishment and endorsement. The meeting comes on the heels of the deadly terror attack in Pahalgam, Jammu & Kashmir, which claimed the lives of Indian soldiers. In retaliation, India conducted massive airstrikes on terrorist hideouts in Pakistan and Pakistan-occupied Kashmir on the night of May 6-7. This diplomatic engagement between Banga and Modi is seen as highly significant in the current geopolitical climate.
"There is a lot of speculation in the media about how the World Bank will step in and fix the problem... but it is all bunk. The World Bank's role is merely as a facilitator," Mr Banga said.
Ajay Banga will continue his visit to India with a trip to Lucknow, Uttar Pradesh, on Friday. During his visit, he will meet Chief Minister Yogi Adityanath at the CM residence and participate in a dinner. The Uttar Pradesh government has highlighted that this visit is a major step toward realizing the state's goal of becoming a $1 trillion economy. Key discussions during the meeting will focus on the state's investment policies and the ongoing infrastructure development.
Banga will also attend a roundtable discussion at the Taj Hotel with state officials and stakeholders to discuss economic growth plans and global investment opportunities. Additionally, he will visit Rajouli village in Barabanki to engage with women-led self-help groups and observe their work in beekeeping, emphasizing women’s empowerment and rural employment.