China and World Bank Partner with New Investment in Global Development Knowledge Programme

In a significant step toward strengthening global development cooperation, the World Bank and the Government of China have formalised a new agreement to support cutting-edge research and policy innovation through the Knowledge for Change Program (KCP) IV Umbrella Multi-Donor Trust Fund.

The Administration Agreement, signed on 16 April 2026 at the World Bank Headquarters in Washington, D.C., marks a new phase in China's evolving role within the international development landscape—from a beneficiary of knowledge-driven reforms to a key contributor of global public goods.

The agreement was signed by Indermit Gill, Chief Economist of the World Bank and Senior Vice President for Development Economics, and Liao Min, Vice Minister of China's Ministry of Finance, in the presence of senior officials and representatives from both sides, including members of the Chinese delegation and the KCP Program Management Unit.

From National Reform Partner to Global Knowledge Contributor

China has been a longstanding partner of the Knowledge for Change Program, with its engagement dating back to 2010 when it supported research on economic development and structural transformation. That collaboration contributed not only to addressing global development challenges but also to shaping China's own reform agenda.

Past KCP-supported projects played a pivotal role in advancing China's data and policy systems. These included the creation of the country's first rural poverty map and improvements to urban household survey methodologies—tools that later informed large-scale social protection programmes. Research on urbanisation and population aging also influenced national policy debates, including discussions on retirement age reform, and generated widespread public engagement.

The latest contribution signals a strategic shift. China is now positioning itself as a provider of development knowledge, leveraging its experience and institutional capacity to support policy solutions across emerging and developing economies.

Driving Research on Jobs, Growth, and Digital Transformation

The new funding will support rigorous, policy-oriented research across critical global challenges, including job creation, economic growth, digital transformation, and human capital development. These areas are central to addressing inequality, boosting productivity, and enabling sustainable development in a rapidly changing global economy.

Beyond producing research, the programme aims to bridge the gap between knowledge and policy implementation. Through structured engagement platforms, workshops, and partnerships with think tanks and academic institutions worldwide, the initiative will help translate analytical insights into actionable policy solutions tailored to local contexts.

This collaborative model ensures that developing countries not only benefit from global expertise but also actively contribute to shaping the global development agenda.

A Proven Platform for Evidence-Based Policymaking

Established in 2002, the Knowledge for Change Program has become one of the World Bank's flagship platforms for advancing evidence-based policy development. Over more than two decades, it has mobilised over $95 million in funding across nearly 500 projects, supporting research, data systems, and analytical tools aimed at reducing poverty and promoting shared prosperity.

The current phase, KCP IV, launched in 2020, focuses on a broad range of development priorities aligned with the World Bank's International Development Association (IDA) agenda. These include economic transformation and job creation, climate change, governance, fragility and conflict, gender equality, and cross-cutting issues such as technology, debt sustainability, and human capital.

Strengthening Global Development Cooperation

The renewed partnership underscores a broader shift in global development dynamics, where emerging economies like China are playing increasingly prominent roles in shaping and financing international development solutions.

By contributing to KCP IV, China is helping expand the global knowledge base while fostering collaboration between policymakers, researchers, and institutions across regions. The initiative is expected to enhance the quality of development strategies worldwide, particularly in low- and middle-income countries facing complex economic and social challenges.

As global development challenges grow more interconnected—from climate risks to technological disruption—the importance of shared knowledge and coordinated action continues to rise. The World Bank–China agreement reflects this reality, positioning research and innovation at the heart of sustainable and inclusive growth.