IMF to meet over new chief

The International Monetary Fund (IMF) board will meet on Monday to agree on throwing open selection of a new managing director…

The International Monetary Fund (IMF) board will meet on Monday to agree on throwing open selection of a new managing director to candidates from around the globe, officials said today.

The top International Monetary Fund job has always gone to a European since the global financial institution was created in 1945 under an informal deal where the United States appoints the head of its sister organisation, the World Bank.

Europe has already staked its claim to nominate the successor to IMF Managing Director Rodrigo Rato, who resigned suddenly last week saying he would step down for personal reasons in October, ending his five-year term prematurely.

Germany has said a consensus was emerging in European capitals on a candidate to replace Mr Rato, a former Spanish economy minister, but France said yesterday there was no deal yet.

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Pressure is mounting in the IMF, however, from the Group of 11 - which represents more than 110 emerging and developing countries from Africa, Asia, Latin America and the Middle East - for the next IMF head to be selected from a field of candidates based on merit, not nationality.

"This is not the time to be talking about candidates. We want to agree on a process of selection, and we want that process to include candidates from other parts of the world, not only Europe," said one senior board official from a developing country.

"A meeting of the board has been called for Monday and we hope a process for selection can be agreed that will be open to anybody," the official said, adding there was at least one G-11 member that indicated it planned to put forward a candidate.