The continuation in effect of China's most-favored-nation status with the United States is contingent principally on the maintenance in force of the waiver of full compliance with the requirements of the freedom-of-emigration ("Jackson-Vanik") amendment of the Trade Act of 1974. Waivers and their underlying authority must be extended annually.

Congress is currently considering appropriations for U.S. contributions to the World Bank and other multilateral development banks (MDBs) as well as separate legislation that would require U.S. representatives to these institutions to oppose all concessional loans to China. This report provides a brief analysis of China’s relationship with the MDBs to highlight some issues and help Members of Congress, congressional staff, and observers better understand the context for the current debates in Congress and the multilateral agencies.