Seeking support from New Delhi on her candidature for the managing director at the International Monetary Fund (IMF), French finance minister Christine Lagarde presented her viewpoint and possible reforms she would push at IMF for better representation of emerging economies like India.
The trip was aimed at offsetting opposition by emerging countries to her appointment as the IMF head. However, Mukherjee on Tuesday said India had not given any assurance to his French counterpart Christine Lagarde on support for her candidature to the post of IMF?s managing director. ?There is no assurance (on supporting Christine Lagarde). We are working on a consensus,? Mukherjee said after meeting Lagarde who is in India to seek support for her candidature.
Lagarde maintained that selection of the top head at IMF should be based on transparent selection on merit. However, she added that nationality of the candidate should not be perceived as a merit or prejudice against it, addressing argument of Europe dominance at the IMF.
In her day long trip she met Prime minister Manmohan Singh, her counterpart at North block Pranab Mukherjee and Planning commission deputy chairman Montek Singh Ahluwalia.
Lagarde emphasis on the emerging economies and the role they can play in the new world order shows that India might be inclined to extend support to her candidature. Since, Mukherjee added that it would be difficult at this point whether there will be any common candidate from BRICS Countries due to, ?divergence of views in respect of South African candidature. So it is not possible to say whether there will be a common candidate or not?,he said.
While most European countries are backing Lagarde, BRICS, an economic bloc comprising Brazil, Russia, India, China and South Africa, yesterday opposed the unwritten convention that the IMF managing director had to be a European.
In Ethiopia, Prime Minister Manmohan Singh also expressed disappointment over the developed world?s attempt to control IMF. Economic Affairs Secretary R Gopalan said, ?The Prime Minister has clearly indicated that it (appointment of IMF Managing Director) is a power play … What we are focusing on is whether we have credible, open, transparent process.?
India was exploring the possibility of fielding Planning Commission Deputy Chairman Montek Singh Ahluwalia for the post, but his candidature is now ruled out since he has crossed the permissible limit of 65 years.
The post of IMF managing director fell vacant following the exit of Dominique Strauss-Kahn, who is being tried for charges of sexual assault in the US.
The Executive Board of IMF had by consensus named Strauss-Kahn as managing director of IMF on September 28, 2007. Strauss-Kahn, the tenth head of IMF, was selected after the European Union and the United States both supported him. He succeeded Rodrigo de Rato of Spain when the latter stepped down on October 31.