President-elect Donald Trump's team wants the U.S. International Development Finance Corp (DFC) to function more like a sovereign wealth fund and be an effective tool for deploying economic power, Bloomberg News reported Friday.

Plans discussed for the federal agency include how it could use investments to boost U.S. influence in Panama and Greenland, the report said, citing former officials, people close to the transition and candidates for the top job at the agency.

In a September 2024 speech at the New York Economic Club, Trump said that, if elected, he would create a sovereign wealth fund to invest in "great national endeavors," including major infrastructure projects such as highways and airports.

He mentioned that the fund would be created "through tariffs and other intelligent things," but did not divulge details.

The Bloomberg report said Elon Musk and Stephen Feinberg, the billionaire co-founder of Cerberus Capital Management whom Trump has nominated as deputy defense secretary, are among those spearheading the discussion about using the DFC both more like a sovereign fund and as a tool to radically alter America's foreign aid strategy.

The idea of a revamped DFC has set off competition to lead it, the report added, citing people close to the matter. The candidates include a former top executive at Bridgewater Associates and a former Republican congressman.

Interviews for the leadership position have also taken place at Trump's Palm Beach estate, according to the report.

The Trump transition team, Musk and Cerebrus did not immediately respond to Reuters requests for comment on the report.

Trump will be sworn in as the 47th U.S. president on Jan. 20.