The International Monetary Fund (IMF) is not seeking a change in leadership. Kristalina Georgiewa is accused of influencing a country ranking in favor of China in her previous post at the World Bank.
The International Monetary Fund (IMF) expresses its full confidence in the managing director Kristalina Georgiewa. Georgieva is accused of influencing an important country ranking in favor of China on her previous top post at the World Bank. A corresponding report by the law firm WilmerHale, in which the data manipulation allegations are raised, raise “legitimate questions and concerns,” said US Treasury Secretary Janet Yellen on Monday. However, a change in leadership is not justified due to the lack of direct evidence. Yellen went on to say that she had spoken to Georgieva about the serious allegations – without further direct evidence of Georgieva’s role, the US saw “no basis for a change in the leadership of the IMF”.
According to the investigation report by the law firm WilmerHale, leading representatives of the World Bank – including its then managing director Georgiewa – exerted “inappropriate pressure” on employees to get China to do better in the ranking of the “Doing Business” report for 2018. China finally landed in 78th place after initially being 85th in the first draft. The report assesses a country’s investment climate and business friendliness. At the time, the World Bank was trying to get support from the Beijing government for a major capital increase. Georgieva had already rejected the allegations, which go back to 2017, several times. In October 2019 she became Managing Director of the IMF.
In order to strengthen the integrity of the data collection and the credibility of the IMF, “proactive steps” are now necessary, according to the US Treasury Secretary Yellen. Georgieva and other executives of the Fund should increase their commitment to maintaining transparency in research, analysis and policy. The Ministry of Finance will follow the processing closely.