Brasília – Brazilian president Dilma Rousseff said on Friday (14) that emerging nations require greater participation in the International Monetary Fund (IMF) to increase their contributions to the financial institution.
"This has resulted in great talks about emerging and developed nations. The emerging markets may be called to contribute, expanding the fund’s capital. But to do so, they require greater share, however, in management of the fund,” said the president, after announcing, in Porto Alegre, the disbursement of federal government funds for works in urban mobility.
Reforms of international institutions, among them the IMF and the World Bank, should be discussed during a summit of the Ibsa, which includes Brazil, India and South Africa. The meeting should take place next week in Pretoria, the administrative capital of South Africa. The three countries defend the changes.
President Rousseff recalled that talks about the reform of financial institutions began in 2009 and are now part of an agenda followed by the emerging nations who consider the current composition the post-World War II reality, which has now been overcome.
"That truth has disappeared. The growth of the emerging nations implies that a change in governance is necessary in the IMF. As it is necessary to change governance, it is necessary to change quotas. We have increased our investment and there has already been growth [in Brazilian participation]. What is under discussion now is what share will be practiced in coming years.”
President Rousseff has returned to pointing out the solidity of Brazilian banks and the country’s capacity to face the financial crisis. “None of our banks have sovereign debt within them, within their liabilities. We have extremely strong banks. Our financial institution is completely different from theirs (the Europeans’)."
*Translated by Mark Ament
