The World Bank overruled U.S. objections yesterday when it approved a loan to China that includes $40 million for resettling 58,000 poor Chinese farmers onto fertile lands historically inhabited by Tibetans. But in an effort to smooth over high tensions, the Bank agreed to delay payment of the $40 million until an independent review board determines whether the program meets the bank’s environmental and resettlement standards. The U.S. has protested the loan on the grounds that the project would dilute Tibetan influence in the area and that the Bank didn’t conduct thorough environmental studies of the plan. World Bank officials said they expected the resettlement would go ahead, but only after substantial modifications to ensure that environmental concerns are addressed.
