Global financial institutions need changes: PM

May 25th, 2011 - 7:57 pm ICT by IANS  

Manmohan Singh Addis Ababa, May 25 (IANS) “Those who wield power are not ready to yield ground very readily.” Indian Prime Minister Manmohan Singh made the remark Wednesday while responding to a question on how India viewed the leadership transition in the International Monetary Fund (IMF).

Saying that reform of global financial institutions, including Bretton Woods institutions, was “high on the agenda of developing countries”, Manmohan Singh said he was not up-to-date with reported changes in the IMF leadership but was firm in his belief that these organisations required changes in tune with the changing power equations and the shift in global economic balance.

Manmohan Singh, here to attend the 2nd Africa-India Summit, said international relations were all about power relations and developing countries should stand united to effect “transformation” in these institutions as this was not a “one-shot operation”.

The questioner, a South African journalist, had asked the prime minister on his reaction to the replacement of Dominique Strauss-Kahn as IMF president by French Finance Minister Christine Lagarde and if he was disappointed that the position did not go to someone from developing countries as was being demanded by the IBSA (India, Brazil, South Africa) group and other developing nations.

Lagarde is top contender for the IMF chief’s job. Changes in the IMF follow allegations of molestation against Strauss-Kahn, who is out on bail.

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