Rusland komt met eigen kandidaat voor directeur IMF (en)
Russia has unexpectedly proposed a Czech former central bank governor to compete for the post of International Monetary Fund chief with the EU's French candidate believed to have US support.
The Russian finance ministry announced on Wednesday (22 August) that it was proposing Josef Tosovsky, the current chairman of the Financial Stability Institute at the Bank for International Settlements in Switzerland, to head the 185-nation organization.
The nomination comes after the EU in late July agreed on its common candidate, France's ex-finance minister Dominique Strauss-Kahn, who had been the only contestant for the job until Wednesday.
"We believe that Mr Tosovsky would be the right person at the right place at the right time," the Russian ministry stated, insisting that it is "vital" that the Fund undergoes substantial reforms to face increasing globalisation of the world economy.
The Washington-based IMF provides loans and economic advice to its member states. It has been criticised over the years for deepening economic crises in some countries through its reform ideas.
Developing countries, including recent economic tigers such as China, India and Brazil, have also strongly protested against the unwritten deal by the West to have a European IMF chief and an American president of the World Bank.
Moscow argues that its bid for another candidate for the IMF will satisfy their calls for its boss to be chosen "on a competitive basis."
Upon hearing of Russia's move, the US treasury secretary refused to take sides and openly back either of the European competitors despite previous indication that Washington supported the EU's official candidate.
"We look forward to working with our colleagues at the Fund to select a new managing director who will continue the reform efforts at the IMF and provide leadership to this vital institution," the US Treasury spokeswoman, Ann-Marie Hauser, was quoted as saying by AFP.
The Czech Republic, on the other hand, did confirm its continued support for Mr Strauss-Kahn, as previously promised at the EU finance ministers' meeting in Brussels.
"Mr Tosovsky was not and is not the Czech Republic's candidate," Czech prime minister Mirek Topolanek said at a news conference in Prague, according to Czech media.
Mr Tosovsky is highly distinguished for his achievements as the first governor of the Czech national bank between 1993 and 2000 following the separation of Czechoslovakia. He played a key role in the country's transition to a free-market economy.
The next managing director of the IMF will replace Rodrigo Rato who announced in late June he would resign from the post in October, nearly two years before his term ends.