The chances of Planning Commission Deputy Chairman Dr Montek Singh Ahluwalia figuring in the race for appointment as Managing Director of International Monetary Fund (IMF) appears to have dimmed with age being not not on his side.
India’s representative at the IMF Mr Arvind Virmani has said that age was against Dr Ahluwalia because of rules that bar anyone above 65 from qualifying for that post.
The name of Dr Ahluwalia has been speculated as a possible candidate for the top IMF post after the ignominious exit of Managing Director Dominique Strauss-Kahn this month.
“He (Ahluwalia) would have been an excellent candidate in my view except that we have just pronounced the by-laws that the Managing Director (of IMF) must be 65 or younger. Unless these by-laws are changed, he can’t be really put on as a candidate,” IMF executive director Mr Arvind Virmani told NDTV.
Dr Ahluwalia is 67 years old and as per IMF’s by-laws, no person above the age of 65 years can be appointed as IMF chief. As per IMF norms, the contract of the Managing Director shall be for a term of five years and may be renewed for the same term or for a shorter term at the discretion of the Executive Board.
This would be done, provided that “no person shall be initially appointed to the post of Managing Director after he has reached his sixty-fifth birthday and that no Managing Director shall hold such post beyond his seventieth birthday”.
Following the resignation of Strauss-Kahn in the wake of his arrest on rape charges, various names from different countries have been doing the rounds as possible candidates for the top IMF post.
While French Finance Minister Ms Christine Lagarde today launched her campaign for the post of IMF Managing Director, concerns have been raised by many developing countries including India.
Historically, the post of IMF Managing Director has been held by a European. Other names speculated for the top post include Mexican central bank’s governor Mr Agustin Carstens and Kazakhstan apex bank’s governor Mr Grigory Marchenko.