Montek among probables for next IMF chief

Top Indian policy planner Montek Singh Ahluwalia figures among the probables to succeed Dominique Strauss-Kahn as the next chief of International Monetary Fund (IMF), a report has said.

Noting the clout and role of the international lender has increased substantially in the emerging markets, US daily New York Times reported that someone from the developing world was likely to succeed IMF managing director Dominique Strauss-Kahn.

Naming Ahluwalia, deputy chairman of Planning Commission, among the probable successors to Kahn, the report said IMF's incumbent chief might run for the French presidency in 2012.

"Whatever he (Kahn) decides, his successor is likely to be someone from the developing world," the report said.

Frequently mentioned names include Mohamed A El-Erian, the American-born son of an Egyptian diplomat and an economist who leads the giant bond investor Pimco; Montek Singh Ahluwalia, a senior Indian planning official; and Arminio Fraga and Guillermo Ortiz, former heads of the central banks of Brazil and Mexico respectively, the daily said.

In his career, Ahluwalia has also served at the IMF and the World Bank, as India's finance secretary and commerce secretary, among others, the report said.

Prior to taking over as the Planning Commission's deputy chairman in July 2004, he was the director (independent evaluation office) at the IMF in Washington for three years. He had also worked as an economist at the World Bank from 1968 to 1971.

A French economist, Kahn has been at the helm of the 187-nation body since 2007 and is also credited with bringing the multilateral lender into the spotlight.

G-20 leaders, at a recent summit, agreed to shift over six per cent voting power in IMF to emerging market economies, including India and China, to reflect the new world order. Once the quota reform is implemented, India's rank in IMF would improve to the eighth position from the current 11th in terms of quota.