Europe gets pissy over Koch-Weser

Doug Henwood dhenwood at panix.com
Tue Feb 29 06:36:50 PST 2000


Agence France Presse - February 29 8:52 PM SGT

US REJECTION OF EUROPE'S IMF CANDIDATE AN "UNFRIENDLY ACT": GERMANY

BERLIN, Feb 29 (AFP) - The US rejection of the German and European Union candidate for the International Monetary Fund top job was branded by the coordinator of German-American relations in the German foreign ministry Tuesday as an "unfriendly act."

Karsten Voigt told Hesse region radio: "The behaviour of the USA -- after Caio Koch-Weser became the common candidate of the Europeans -- is an unfriendly act not only against Germany but against Europe as a whole."

He said he found it a particularly bad gesture that the Americans had come out against Koch-Weser at this precise time.

Voigt, a former foreign affairs spokesman of the Social Democratic party, called on the European states to stand by their candidate and not yield to the United States.

Voigt said: "I believe that the relationship between Europe and the USA is, when it comes to financial and monetary policy -- not in the military domain -- a relationship between equals. The USA should in this case deal with Europe on the basis of equals."

The German government earlier Tuesday let it be known that it still believed in the chances of Koch-Weser of becoming IMF managing director, despite the outright rejection of him by the Clinton administration.

The European states were unanimous in backing their candidate, government deputy spokesperson Charima Reinhardt said.

She said that Koch-Weser would be officially adopted Tuesday as the EU candidate.

In Britain, officials said London would support Koch-Weser's nomination.

"Koch-Weser is a strong and experienced candidate, and we are prepared to support him," a spokesman for British Prime Minister Tony Blair said.

Koch-Weser, 55, who holds both Brazilian and German citizenship, is Germany's state secretary for finance. He began his 26-year career with the World Bank in 1973, and is a specialist in developing countries.

The European Union endorsed him as its candidate on February 14, when Michel Camdessus stepped down after 13 years.

He was chosen by EU finance ministers Monday but immediately rejected by Washington.

Although the EU by tradition nominates the top figure at the IMF, the United States has 18 percent representation on the IMF administrative board and is said to favor the appointment of US national Stanley Fischer.

Fischer has been the acting managing director of the IMF since Camdessus's departure, and has been in the number two position at the Fund for five years.



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