Treasury Secretary Scott Bessent on Wednesday called for sweeping reforms at the International Monetary Fund and World Bank, urging the institutions to abandon what he described as “mission creep” and return to their founding charters focused on macroeconomic stability, trade, and development.
Speaking at the Institute of International Finance during the spring meetings of the IMF and World Bank, Bessent said that “America First does not mean America alone.” He argued that the Trump administration is not looking to abandon international institutions or the global financial system built with American leadership, but rather is making a renewed commitment to U.S. leadership within it.
“Far from stepping back, ‘America First’ seeks to expand U.S. leadership in international institutions like the IMF and World Bank,” Bessent said.
The speech marked Bessent’s most comprehensive statement to date on the Trump administration’s global economic strategy, calling for a “rebalancing” of the international financial system that includes trade realignment, a reassessment of IMF and World Bank priorities, and a stronger role for the U.S. in shaping institutional governance.
‘Make the IMF the IMF Again’
Bessent called on global leaders to “make the IMF the IMF again,” singling out the IMF’s increased focus on climate change, gender equity, and social policy as distractions from its original purpose.
“The IMF was once unwavering in its mission of promoting global monetary cooperation and financial stability,” he said. “Now it devotes disproportionate time and resources to work on climate change, gender, and social issues. These issues are not the IMF’s mission.”
He criticized the Fund’s most recent External Sector Report for minimizing ongoing trade imbalances and called for greater scrutiny of surplus economies, including China. Bessent argued that the IMF must be more willing to deny lending to countries that refuse to implement needed reforms.
World Bank: No Blank Checks
The Treasury secretary also pressed for changes at the World Bank, including more stringent graduation criteria to ensure that middle-income countries, particularly China, no longer receive development loans.
“Treating China—the second-largest economy in the world—as a ‘developing country’ is absurd,” Bessent said.
He applauded the Bank’s recent willingness to reconsider its restrictions on nuclear energy lending and called for a “tech-neutral” approach to energy development. In most cases, he argued, this would mean renewed investment in gas and fossil fuel-based infrastructure to support growth in developing countries.
China and Global Trade
Bessent reiterated the administration’s view that the global trade system has become structurally imbalanced, with the U.S. bearing the burden of excess demand. He said the Trump administration’s recent tariff measures were already drawing positive responses from more than 100 countries eager to rebalance trade relationships.
China, he said, remains a major concern, citing its reliance on export-driven growth and a continued shift away from domestic consumption.
“China needs to change. The country knows it needs to change. Everyone knows it needs to change,” he said.
Bessent tied global economic stability to global security, arguing that America’s open markets and defense commitments must be reciprocated by stronger security and economic cooperation from allies.
