Biden picks Ajay Banga as US nominee for World Bank president

President Joe Biden on Thursday announced that the US is nominating Ajay Banga to lead the World Bank, saying the Indian-American business leader is uniquely equipped to lead the global institution at "this critical moment in history." If confirmed by the World Bank Board of Directors, Banga would be the first-ever Indian-American and Sikh-American to head either of the two top international financial institutions: International Monetary Fund and the World Bank. Banga, 63, currently serves as Vice Chairman at General Atlantic. Previously, he was President and CEO of Mastercard, leading the company through a strategic, technological and cultural transformation. He was awarded the Padma Shri in 2016."Ajay is uniquely equipped to lead the World Bank at this critical moment in history," President Biden said in a statement.

The president of the World Bank is typically American, while the leader of the International Monetary Fund is customarily European. Last week current World Bank President Malpass -- who was nominated to the post by Biden's predecessor Donald Trump in 2019 -- said he would step down nearly a year early, ending a tenure that was clouded by questions over his climate stance.His term would originally have ended in 2024. The United States is the World Bank's largest shareholder. US Treasury Secretary Janet Yellen applauded Biden's decision. Banga "has the right leadership and management skills, experience living and working in emerging markets, and financial expertise to lead the World Bank at a critical moment in its history," Yellen said.