Developing states seek more say in IMF

Ulhas Joglekar ulhasj at bom4.vsnl.net.in
Sat Feb 5 03:32:49 PST 2000


3 February 2000

Developing states seek more say in IMF By Janet Guttsman WASHINGTON: Developing countries are fed up with being bossed around by their rich partners at the International Monetary Fund and want more say in who becomes the next head of the institution, a senior IMF official said. The official, who asked not to be identified, said on Tuesday the 11 IMF executive board members from developing countries were lobbying their richer partners to present more than one candidate for the position, which falls vacant on February 14. It was the latest in a series of attempts by developing countries to speak with a single voice at multilateral institutions and at international gatherings like the 1999 trade talks in Seattle. It could complicate the rich world's negotiations on who should succeed France's Michel Camdessus. ``Our objective should be finding the best man for the job, regardless of nationality,'' the IMF official said. The execitive board is the body formally responsible for appointing a new managing director to replace Camdessus, who steps down this month after 13 years. It comprises 24 individuals from imf member countries, most of whom represent a constituency of countries and 11 of whom have clubbed together in what they call the G-11. ``We will not accept a situation where a name is put before the board selected by a sub-group of the membership, presenting board members with a fait accompli,'' the IMF official said. ``We would like to have more than one name for the board to decide on. We would like these names to be given in advance so we have an opportunity for a period of time after the names are announced to consult with our authorities.'' The post of imf managing director has traditionally gone to a European, just as an American traditionally heads the World Bank. Germany, arguing that it is time a German won a top international job, nominated finance ministry official Caio Koch-Weser -- and Berlin has lobbied for him fiercely. International resistance to Koch-Weser was fading and developments were ``increasingly positive,'' finance ministry spokesman Torsten Albig said Tuesday. Opponents argued the German candidate, who spent 25 years at the World Bank, did not have the right qualification to head the IMF because he came from a development institution and not from a monetary one. Koch-Weser, in an interview on Monday with the International Herald Tribune, rejected charges he was not big enough for the job. He said his priorities would be to refocus the IMF on key mandates of surveillance, crisis prevention and making the IMF the focal point for transparency in international finance. The IMF official said the developing countries in the executive board had carefully refrained from commenting on individual candidates for the high-profile job. He admitted their share of votes would not be enough to block a Koch-Weser appointment, but hoped it would send a signal. ``Our voice must be heard,'' he said. An IMF source said reservations from developing countries appeared to be one reason why France and the US had been so lukewarm about the German candidate --the two countries effectively acted as lightning rods to channel views from the developing world. (Reuters) For reprint rights: Times Syndication Service
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