Moody's Warns of Possible Loss of AAA Rating for the World Bank

The AAA ratings of the World Bank (WB) and other prominent multilateral lenders could be at risk if the United States decides to withdraw its support following a review ordered by President Donald Trump, according to credit rating agency Moody's.

Last week, Trump signed an executive order aimed at reviewing the U.S. government's support for all international intergovernmental organizations it belongs to and withdrawing from some United Nations agencies. Moody's indicated in a report published on Monday that "the United States is a key shareholder in several highly-rated MDBs (multilateral development banks), so a significant reduction in its commitment to them would negatively impact their credit ratings."

The financial situation of the World Bank is crucial, not only for the global economy but also for emerging economies like Mexico's. A potential downgrade in its credit rating could increase financing costs and make access to credit more difficult, which would impact infrastructure and development projects that are vital for sustainable growth in the country. It is essential for both the United States and other involved countries to consider the implications of their decisions to preserve economic stability worldwide.