US to Seek Global Financing for Strapped Developing Nations

The Biden administration is set to unveil a plan that would offer fresh financing to developing nations that face cash shortages, with the goal of keeping them from plunging into debt crises.

The proposal will be announced by Jay Shambaugh, the US Treasuryundersecretary for international affairs, on Friday, two weeks before global financial officials gather in Washington to discuss such issues.

Under the program, called the Pathway for Sustainable Growth, the International Monetary Fund and World Bankwould join with sovereign and private creditors, to support nations well before they require restructuring.

The idea is intended to assist ...