Tuesday, May 17, 2011

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CARSTENS and Zedillo IMF VIABLE FOR THE EDGE OF THE ABYSS

At the detention of Strauss-Kahn, there are 9 candidates
José Manuel Arteaga / El Universal
legal situation being experienced by Dominique Strauss-Kahn, director of the International Monetary Fund (IMF ) opens the possibility for two Mexicans to compete for the leadership of the world body.
The governor of the Bank of Mexico, Agustin Carstens, and former President Ernesto Zedillo are, according to experts, candidates to reach the general direction of the International Monetary Fund.
The only drawback to Carstens and former President Zedillo, say specialists, is that there is an unwritten rule, that the main responsibility of the IMF must remain in the hands of Europeans, in exchange for the World Bank president the United States.
According to Philippe Agion, professor of economics at Harvard University, accessed by The Wall Street Journal, former President Ernesto Zedillo is one of the possible candidates, whether emerging economies push to lead the organization.
"There is little likelihood that a non-European candidate to become the new director of the IMF at this time, especially in a time when Europe is in trouble and needs to have the IMF as its ally," said Alfredo Coutinho, director for Latin America at Moody's Economic.com, who explained that there is an agreement between the major powers that is its foundation.
However, the specialist said that a point in favor of Agustin Carstens is that it was a good IMF official.
The director of the Faculty of Economics at the Universidad Panamericana, Gabriel Pérez del Peral, considered that it needs a leader with experience negotiating and Carstens meets this characteristic.
"Given the proximity of the lack of payment in Greece and the U.S. fiscal problems, Agustín Carstens could see strengthened his chances of being the next girector the IMF," explained del Peral. He added that the IMF
experiencing a problem of leadership "to prevent in the future we're talking about zero-G G20 and no longer."
Carstens had a successful stint as IMF Deputy Managing Director between 2003 and 2006.
"Unfortunately, the existing rules do not seem to favor someone from a developing country, yet," he said Alfredo Coutinho.
Agustín Carstens and nine international staff are potential candidates for office to replace Dominique Strauss-Kahn.
French might be forced to resign after being accused of an alleged attempted rape of a maid in a hotel room in New York.
Even the official international was denied a conditional release after his lawyers tried to pay one million dollars. John Lipsky
assume temporary management of the IMF.
"According to normal procedures of the IMF" Lipsky performs the duties of managing director when the holder is not in Washington, said fund spokesman, Bill Murray.

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