India has called for urgent revision of the quota of International Monetary Fund in favour of dynamic emerging market so as to reflect the ground realties of the world. Addressing the annual meetings of the IMF and the World Bank here, Finance Minister Arun Jaitley hoped that this can be accomplished as part of the 15th General Review of Quotas.
“There is an urgent case for revising quota shares in favour of dynamic emerging market countries in line with global economic realities to maintain fairness in the governance structure of the Fund,” he told the world financial leaders on Saturday. “We should make every effort to complete the 15th Review by the agreed timeline of 2019 Annual Meetings,” he asserted. Jaitley said the risks to global financial and economic stability have significant implications for IMF's operations. He said the IMF needs to be adequately resourced to meet these demands while functioning as a strong quota-based institution. Similarly, for the World Bank Group, a delayed but unanimously agreed lima Roadmap had envisaged to see a conclusion of the 2015 shareholding review by Annual Meetings 2017, he said.
“While we note that we failed to deliver it, given the progress that has been made so far, we strongly urge all to commit to deliver an equitable conclusion of this process for both the IBRD and IFC by the Spring Meetings 2018,” he said.
He warned that any further delay in concluding the review will risk not only development in the client countries but the existence and leadership of both Bank and IFC in MDBs.