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World Bank's Banga: Availability of capital 'not really an issue' as AI demand drives up borrowing costs

CNBC October 27, 2026 7 views

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World Bank President Ajay Banga stated on Monday that the availability of capital is "not really an issue," despite rising borrowing costs driven by surging demand for artificial intelligence infrastructure.

Banga made the remarks during an appearance on CNBC's "Squawk Box" on October 27, 2026. The comments address current market dynamics where increased investment in AI technologies is influencing global financial conditions.

According to the World Bank leader, the primary challenge facing markets is not a lack of funds, but rather the cost at which that capital can be accessed. This distinction highlights how the rapid expansion of AI-driven projects is reshaping the landscape for institutional and sovereign borrowing.

While the source material does not provide specific interest rate figures or detailed economic data, Banga's assertion suggests that liquidity remains sufficient to meet current demands, even as price pressures mount.

The statement offers insight into the World Bank's perspective on the intersection of technological innovation and traditional finance, emphasizing that capital access remains robust despite the headwinds created by the AI boom.

<small>Source: CNBC — read the original story there.</small>

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