December 10, 2012
Randall Woods – Bloomberg Businessweek, 12/10/2012
International Monetary Fund Managing Director Christine Lagarde will likely outline the lender’s reversal of its decades-old opposition to capital controls on a five-day tour of Latin American this week, even as Brazil says the new position doesn’t go far enough.
In a Dec. 3 report, the IMF said targeted and temporary controls can be effective in preventing asset bubbles and currency rallies. Policy makers in Brazil, the largest economy in the region and the most aggressive in erecting such barriers, said the fund still shows a bias against controls, places too much emphasis on the benefits of capital flows and doesn’t hold rich nations accountable for fueling sudden liquidity surges.
Still, the IMF’s shift can give cover to countries that might consider enacting such controls, said Claudio Loser, a former Western Hemisphere director at the Washington-based fund.
December 5, 2011
Vinod Sreeharsha – McClatchy Newspapers, 12/02/2011
IMF Managing Director Christine Lagarde, right, speaks during a news conference as Brazil's Economic Minister, Guido Mantega, looks on in Brasilia. Photo Credit: AP/Eraldo Peres
The visit by International Monetary Fund head Christine Lagarde to Brazil this week was the latest sign that while Europe’s financial crisis deepens, Brazil remains a rare bright spot in the battered global economy.
Lagarde, who was examining possible Brazilian participation in a financial bailout package for Europe, lauded the country’s economic management and said that “as the balance of economic power shifts, emerging economies are a key part of the solution to the global problems.”
Brazilian officials say that any aid would go through the IMF and in coordination with other emerging economic powers. Carlos Marcio Cozendey, a senior official at the Brazilian Finance Ministry, told McClatchy in a recent interview that Brazil would first like to see Europe provide more leadership because it “is still a rich continent.”
December 2, 2011
Alonso Soto and Peter Murphy – Reuters, 12/02/2011
Brazil's Finance Minister Guido Mantega speaks during a news conference in Brasilia December 1, 2011. Credit: Reuters/Ueslei Marcelino
Major emerging economies will offer cash to help resolve Europe’s debt crisis so long as they gain influence at the IMF and Europe does more to address its own problems, Brazil’s economy chief said on Thursday.
European leaders are scrambling for a definitive end to a spreading debt crisis that is dragging down global growth and could even spell the end of the 17-nation euro zone.
Finance Minister Guido Mantega said Brazil and fellow BRICS nations were willing to boost their funding to the International Monetary Fund to counter the debt crisis, which is increasingly threatening their own economic growth.
June 28, 2011
Andrew OReilly – Latin American News Dispatch, 06/28/2011
Mexico’s central bank chief, Agustín Carstens, put in a good run, but it looks more likely now that France’s Christine Lagarde will be the next managing director of International Monetary Fund (IMF) after receiving the backing of the U.S. and Brazil earlier today.
An unnamed Brazilian government source told Reuters on Tuesday that the country was giving its support to Lagarde. This follows a statement by U.S. Treasury Secretary Timothy Geithner endorsing France’s finance minister.
Geithner praised Carstens for having a “strong and credible candidacy,” but the U.S. endorsement virtually seals a win for Lagarde.
June 23, 2011
John Lyons – WSJ, 06/22/2011
Brazil may throw its support behind Mexico’s central bank chief Agustín Carstens in his long shot bid to become the next head of the International Monetary Fund, according to Brazil’s representative at the IMF, Paulo Nogueira Batista.
Mr. Nogueira Batista, an executive director at the Fund, said Mr. Carstens had impressed many Latin American countries with his extensive experience during a recent visit to lobby for the position, but added that the chances of any candidate from an emerging market winning the post were still slim.
The heavy favorite to become IMF chief is still French finance minister Christine Lagarde.
June 2, 2011
Randy Woods – Bloomberg, 06/02/2011
Mexico Central Bank Governor Agustin Carstens will meet with his counterpart from Brazil today in a bid to rally support among emerging markets for his flagging candidacy to lead the International Monetary Fund.
Since being nominated May 22, Carstens has picked up a single endorsement abroad, from Uruguay, as leaders from Europe unite around a rival bid by French Finance Minister Christine Lagarde.
His visit follows one by Lagarde on May 30, when she met with Finance Minister Guido Mantega. A Brazilian official said the following day that the government will privately support Lagarde in the race to succeed Dominique Strauss-Kahn as managing director.
May 31, 2011
CNN Wire Staff, 05/31/2011
French Finance Minister Christine Lagarde paid a visit to Brazil’s capital Monday, making overtures toward developing nations to support her bid to become the first female president of the International Monetary Fund.
Lagarde told Brazilian officials that member nations of the International Monetary Fund must join efforts in controlling the ongoing currency volatility, an issue that greatly affects developing nations, Brazil’s state-run Agencia Brasil reported.
Lagarde said the weak dollar is provoking a currency reaction in the Eurozone as well, affecting manufacturing nations in continental Europe as well as in emerging economies, Agencia Brasil reported.