Christine Lagarde, managing director of the International Monetary Fund (IMF), has expressed displeasure with news that the United States (US) Congress has not adopted a measure necessary to ratify the 2010 Quota and Governance Reform.
"I am disappointed that necessary steps could not be taken to implement this important governance reform," Lagarde said in a release last week.
"The world is evolving, and we are fully committed to helping our membership finalise what it agreed in 2010 is needed to ensure that the Fund keeps pace with global change and helps meet emerging challenges. We understand that the US administration will continue to work on securing the necessary legislative authorisation, and we are hopeful that this will happen," she added.
Largarde said "the IMF remains fully committed to pursuing implementation of the governance reforms that have been agreed to make the Fund an even more effective and representative institution."
On December 15, 2010, the board of governors, the Fund's highest decision-making body, approved a package of far-reaching reforms of the Fund's quotas and governance.
Once the reform package is approved by member countries and implemented, it will result in an unprecedented 100 per cent increase in total quotas and a major realignment of quota shares to better reflect the changing relative weights of the IMF's member countries.
The reform package builds on the 2008 reforms, which strengthened the representation of dynamic economies, many of which are emerging market countries, through ad hoc quota increases for 54 member countries, and enhance the voice and participation of low-income countries through a near tripling of basic votes.