Fast forward to the present : 2025
President World Bank Ajay Banga asked the Bank’s board of directors to review its decades old policy on Nuclear Power and informed that a new energy policy proposal will be presented in June 2026
World Bank announces in it will consider financing Nuclear Power- March 2025
NucNet reported that in March 2025, the head of the World Bank acknowledged he had asked the lender’s board to reverse its long-standing policy against funding nuclear power projects, saying the technology offers a green option for poor countries.
“The good news is the board has come together and said they’re willing to discuss” the change, said Banga at the time and he expected the move to be included in a broader energy policy proposal expected in June 2026.
The voices of large Stakeholders and their implications on The World Bank financing nuclear Power.- April 2025
Reuters on 12 June 2025 reported that the US is the Bank’s single largest shareholder – at 15.83% followed by Japan 7% and China -close to 6 % (Fig 34)(https://www.reuters.com/sustainability/climate-energy/world-bank-end-ban-nuclear-energy-projects-still-debating-upstream-gas-2025-06-11/#:~:text=WASHINGTON%2C%20June%2011%20(Reuters),Ajay%20Banga%20said%20on%20Wednesday.)
Fig 34 : World Bank’s Shareholders
Energy Intelliegence report on 13 June 2025 that Washington, which today has a 17% stake in the World Bank, actually helped found the multilateral development bank as part of the Bretton Woods system at the end of World War II (https://www.energyintel.com/00000197-69b4-d5b1-abf7-e9b66f340000)
The New York Times on 11 June 2025 by Max Bearax (https://www.nytimes.com/2025/06/11/climate/world-bank-nuclear-power-funding-ban.html?unlocked_article_code=1.OE8.2aSy.51VDr8G6VEpy) had highlighted that the United States is the World Bank’s single largest shareholder and holds significant sway over its policies and that in April 2025, Treasury Secretary Scott Bessent urged the bank to lift its ban, saying in a speech that doing so would “revolutionize energy supply for many emerging markets.”
3a.German federal election and formation of a new government resulting in Changing policy and energy landscape : February- 6 May 2025
Germany's political landscape has undergone significant transformations evident by the recent federal elections which took place on 23 February 2025.
On 6 May 2025, the German Bundestag elected Friedrich Merz as the 10th Chancellor of the Federal Republic of Germany ( Fig 35)
Fig 35 Friedrich Merz elected as the 10th Chancellor of the Federal Republic of Germany
Green Economy Coalition (GEC) had reported in its article titled A political earthquake in Germany: what does it mean for green? on 27th February, 2025 that The results of this week’s German federal elections have dramatically shifted the country's political landscape, with potential ramifications for the clean energy transition in the country that had long been seen as a renewables pioneer. ((https://www.greeneconomycoalition.org/news-and-resources/a-political-earthquake-in-germany-what-does-it-mean-for-green) ( Fig 36)
Fig 36: A New German Government has taken office
Green Economy Coalition (GEC) had reported in its article titled A political earthquake in Germany: what does it mean for green? on 27th February, 2025 that The results of this week’s German federal elections have dramatically shifted the country's political landscape, with potential ramifications for the clean energy transition in the country that had long been seen as a renewables pioneer. ((https://www.greeneconomycoalition.org/news-and-resources/a-political-earthquake-in-germany-what-does-it-mean-for-green)
The American Nuclear Society (ANS) had shared in its newswire titled Germany election brings nuclear power back into spotlight https://www.ans.org/news/2025-02-11/article-6755/germany-election-brings-nuclear-power-back-into-spotlight/) that Politico had reported on 6 February 2025 its article titled German election frontrunners push for nuclear comeback ((https://www.politico.eu/article/germany-election-jens-spahn-nuclear-energy-comeback/)) that Jens Spahn, deputy parliamentary leader of the CDU, told the news outlet that “It is in our national interest to retain the option of nuclear power,”. “When a new generation of small and low-waste nuclear power plants is ready for the market, we should use it. The demand for energy in the digital world is increasing instead of decreasing.”
3b) Under Merz, Germany Softens Nuclear Stance in EU Talks (https://thedeepdive.ca/under-merz-germany-softens-nuclear-stance-in-eu-talks/)
thedeepdive.ca had reported on 20 May 2025 that German and French officials had informed that Chancellor Friedrich Merz’s government is easing Germany’s stance against nuclear energy in European Union policy discussions, potentially breaking a years-long impasse on EU energy legislation. ( Fig 37)
The new approach enables cooperation with France on regulatory frameworks that would classify nuclear power as a low-carbon energy source similar to renewables in EU sustainable energy taxonomies, addressing what had become a significant source of tension between Europe’s largest economies.
thedeepdive.ca spotlighted that according to reporting in the Financial Times, a German official described the policy change as a “sea-change policy shift,” adding that “all the biases against nuclear power, which still remain here and there in EU legislation, will be removed.”
Fig 37: Germany drops opposition to nuclear power
4)International Nuclear Financing Act 2025 -13 May 2025 (https://www.mccormick.senate.gov/press-releases/senators-dave-mccormick-and-chris-coons-introduce-international-nuclear-energy-financing-act/)
Gov.Info had outlined that Senators Dave McCormick (R-PA) ( Fig 38) and Chris Coons (D-DE) ( Fig 39) had on 13 May 2023 introduced S. 1739, the International Nuclear Energy Financing Act 2025, which would encourage more financing for nuclear energy projects to create jobs here in the United States. which was read twice and referred to the Committee on Foreign Relations.
“If we’re going to help our allies achieve energy security and combat climate change around the globe, we need to encourage as many countries as we can to shift to reliable sources of clean power, and that includes nuclear energy,” said Senator Coons. “
Fig 38 Senator Dave McCormick (R-PA)
Fig 39 Senator Chris Coons (D-DE)
Secretary of the Treasury Scott Bessent said this change “could revolutionize energy supply for many emerging markets.” ( Fig 40)
This bill would instruct U.S. representatives at the World Bank, European Bank for Reconstruction and Development, and regional development banks around the world (Fig 41) to advocate for additional support for nuclear energy projects and the establishment of nuclear energy assistance trust funds. These efforts would include removing any prohibitions for financing nuclear energy projects.
Fig 40: Secretary of the Treasury Scott Bessent
Fig 41: Fig 41 :The US is a large shareholder in many multilateral development bank, with 16.4% share in the IBRB
5) The World Bank Fast-tracking on Presentation to its Board on a New Energy Policy to Finance Nuclear Power by 1 year
It was March 2025 that President Ajay Banga had shared that he had asked the lender’s board to reverse its long-standing policy against funding nuclear power projects and that he expected the move to be included in a broader energy policy proposal expected in June 2026.
However with escalation of initiatives worldwide , in particular in the United States by its Politicians/Law Makers with the introduction of the International Nuclear Financing Act 2025 on 13 May 2025 by Senators Dave McCormick (R-PA) and Chris Coons (D- DE ), after its first introduction by Rep which would encourage more financing for nuclear energy projects and in particular the bill would instruct U.S. representatives at the World Bank, European Bank for Reconstruction and Development, and regional development banks around the world to advocate for additional support for nuclear energy projects and the establishment of nuclear energy assistance trust funds and the change in Government in Germany has witnessed the Bank's energy Policy presented 1 year earlier in June 2025 instead of the anticipated review in June 2026 .
6)The World Bank's Signaling on Nuclear to other Institutions and Building Bank's Capacity to Evaluate nuclear energy Projects (https://www.energyintel.com/00000197-69b4-d5b1-abf7-e9b66f340000)
Energy Intelligence reported on 13 June 2025 that perhaps the most significant effect of the World Bank reversing the nuclear ban will be the signal it sends to other institutions. The World Bank's International Finance Corp. (IFC) lends to private sector companies and has long included nuclear on its "exclusion list" alongside sectors like weapons, casinos and tobacco.
Energy Intelligence further highlighted that The “important thing with the IFC changing their exclusion list is that a lot of other banks, whether they're multilateral banks or even just private banks, use the IFC’s exclusion list,” Jacob Kincer, a program manager at Washington-based energy nonprofit ClearPath, told Energy Intelligence. “So this is a pretty strong signal to the private sector.”
The World Bank’s nuclear ban had long been included in energy sector guidance stating that it will not finance nuclear "because safety of nuclear facilities and nonproliferation" are not in the bank's "areas of expertise" — nor will the bank "build internal capacity in matters related to nuclear power generation." In repealing the ban, the World Bank will have to build up its capacity to evaluate nuclear energy projects.
“We will advance this work in close partnership and with the IAEA — building capacity and strengthening our ability to advise on nonproliferation safeguards, safety, security and regulatory frameworks,” Banga said in the email to World Bank staff.
Energy Intelligence dovetailed that the most potent result of the World Bank policy reversal would be if other multilateral and regional lenders such as the European Bank for Reconstruction and Development and Asian Development Bank (IDB) were persuaded to re-evaluate their own bans on funding nuclear.
7) The World Bank’s Officer’s response on the Bank Financing Nuclear Power at the recent ASEAN Energy Meeting Regional Approaches to Nuclear Development in ASEAN held in Kuala Lumpur 26 May 2025
During the ASEAN Energy Meeting Regional Approaches to Nuclear Development in ASEAN held in Kuala Lumpur 26 May 2025, Ms Sheriffah Noor Khamseah Al-Idid binti Dato Syed Ahmad Idid, Innovation and Nuclear Advocate had the pleasure of meeting The World Bank’s official Mr Jie Tang, Practice Manager for the Energy and Extractive Global Practice of the World Bank ( Fig 42).
A key question Ms Sheriffah had posed to Mr Jie Tang was “ It is most encouraging to see in the news that The President of the World Bank Mr Ajay Banga had announced in March 2025 that the World Bank would be would be reviewing its decades-old policy on nuclear power and decision expected in June 2026, how soon would the world know of The Bank's decision on supporting financing nuclear power Mr Jie Tang?
Fig 42: Ms Sheriffah met with Mr Jie Tang at the ASEAN Energy Meeting Regional Approaches to Nuclear Development in ASEAN in Kuala Lumpur 26 May 2025
Mr Jie Tang had responded that internally within The World Bank discussions have started but the new energy policy will only be reviewed in 2026, and decision will be thereafter
Ms Sheriffah had shared that the nuclear industry looks forward to a positive decision by the Board of The World Bank to support financing nuclear power as this would significantly impact and further enhance the contribution of nuclear power in energy transition accelerating the world's race to reach net zero and effectively contributing to the world's shift to clean energy system
It was a indeed both great and most pleasant surprise to hear the news in less than 1 month after this meeting with Mr Jie Tang on 26 May 2025 that on 12 June 2025 the Bank formally announced it is lifting its ban on Financing Nuclear Power.
A piece of important news that will impact upon the pace of the world's race to reach net-zero goal.
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