WORLD BANK DEFERS LOANS TO CHINA
The World Bank said it is deferring consideration of $780 million in loans to China which have been stalled in the wake of Beijing's brutal crackdown on the pro-democracy movement. The timing of future decisions will be reviewed in consultation with Chinese authorities, the bank said.
On June 8, four days after the Chinese Army attacked protesters in Tiananmen Square, bank President Barber Conable withheld the first of the loans from consideration by the bank's Board of Executive Directors.
The bank had been scheduled to lend a total of $2 billion to $2.5 billion to China in the year ending June 30. The $780 million was part of that total.