World Bank Presidency: Okonjo-Iweala Dares US, Europe …Gets UN Job

The United States should take the lead and break the long tradition of an American always heading the World Bank, Nigerian Finance Minister Ngozi Okonjo-Iweala said.

Speaking after a “marathon” three-and-a-half-hour interview by the World Bank board, Okonjo-Iweala said the decision on who leads the global development institution should go to the candidate with the best skills for the job.

Okonjo-Iweala , a nominee for the top post, said she did not ask for the support of countries, but pressed them to ensure that the selection process was open and merit based.

Under an informal agreement between the U.S. and Europe, an American has always headed the World Bank and a European has led the International Monetary Fund since their founding after World War Two.

Rising economic powers such as China, India and Brazil have called for an end to the long-standing tradition and are demanding more influence in global finance institutions.

Okonjo-Iweala, is up against former Colombian Finance Minister Jose Antonio Ocampo and U.S. nominee Korean-American health expert ,Jim Yong Kim.

Ocampo and Kim are set to be interviewed by the 25-member World Bank board on Tuesday and Wednesday respectively.

It is the first time that candidates from developing countries have challenged Washington for the top post.

“Somebody has to break this agreement”, Okonjo-Iweala told an event hosted by the Centre for Global Development and Washington Post.

“Therefore, who is the leader in this world? The U.S. is looked on for that leadership,” she added.

The board is set to decide through consensus on a new president of the World Bank on April 16.

Okonjo-Iweala dismissed the argument by some U.S. politicians that the U.S. would stop financing the World Bank if a non-American took the reins of the institution.

She said she would use her persuasive powers to convince Congress to keep funds flowing to the World Bank.

“You cannot look at global governance in the same old way and should recognise the changing constellation of powers,”Okonjo-Iweala said.

“I do not believe that if we ignore this reality we can really have global governance that works because these countries will not feel valued in the global system.”

Okonjo-Iweala said her vision for leading the World Bank was influenced by her own life story of growing up in a village in Nigeria and her experiences as an international economist.

“It is not good enough to say you know about poverty. You have to live it,” she said.

As head of the World Bank, Okonjo-Iweala said she would focus on job creation, which was a problem facing both rich and poor countries alike.

“Across the globe, policymakers are grappling with one problem, and that is the problem of job creation,” she said,

“I have yet to meet a single poor person who did not want the dignity of a job.”

She said her experience as finance minister and as managing director of the World Bank gave her unique insights into the complex problems facing emerging market and developing countries in Asia, Africa and the Middle East.

She said the World Bank should also focus more on helping developing countries build roads, railway systems and power grids to help their economies grow, and it should invest more in education, health and gender issues.

She said complex global problems facing developing countries required a World Bank that could respond quickly and creatively to the needs of the poor.

“We need a Rolodex of experts that we can call on very fast,” she said.

“The bank needs to be fast in delivering knowledge. Middle-income countries are no longer willing to wait when they need a question answered.”

While working at the World Bank, Okonjo-Iweala said she compiled a list of 11 issues that frustrated her the most about the institution, which she shared with the board during her interview.

On her list of frustrations was the lack of data to make vital decisions on poverty reduction in low-income countries.

Meanwhile, the Coordinating Minister for the Economy and Finance Minister, Dr. Ngozi Okonjo-Iweala, has been appointed by the United Nations (UN) Secretary-General, Ban Ki-Moon with 26 other global leaders to launch aggressive campaign to reduce cases of malnutrition.

A statement from the United Nation’s Department of Public Information, the UN Secretary-General appointed 27 individuals which included some heads of state and other reputable individuals to focus on improving nutrition as key to progress in health and development.

Okonjo-Iweala who is vying for the position of World Bank president was appointed yesterday alongside with Armando Emílio Guebuza, President of Mozambique; Jakaya Mrisho Kikwete, President of Tanzania; Sheikh Hasina, Prime Minister of Bangladesh; Nahas Angula, Prime Minister of Namibia; Babu Ram Bhattarai, Prime Minister of Nepal; Nina Sardjunani, Deputy Minister of Development Planning of Indonesia; Nadine Heredia, First Lady of Peru and Ibrahim Mayaki, CEO of NEPAD Civil Society Organizations.

The group is to represent the many countries, organisations and sectors working to improve nutrition, and serve as strategic guides for the global movement, Scaling Up Nutrition (SUN), which is committed to advancing the strength and security of nations by improving maternal and child nutrition.SUN, is a global push for action and investment to improve maternal and child nutrition.

“Never before have so many leaders, from so many countries and fields, agreed to work together to improve nutrition,” said Secretary-General Ban Ki-Moon, as he explained that “the SUN movement gives all of us, including the UN, an opportunity to support countries in their efforts to end hunger and malnutrition.”

“Okonjo-Iweala will be joining the lead group which includes heads of state from countries that have prioritised efforts to scale up nutrition, as well as representatives of the donor, civil society, business and UN system organizations that are aligning resources to help SUN countries drive progress.

The group’s role is to ensure that the countries at the heart of the movement are supported as they work to create tangible and sustainable improvements in nutrition. In addition to providing strategic oversight, the group will help to mobilise support and strengthen both coordination and accountability within the movement.

Vice President Namadi Sambo (right), being received by Nigeria's Ambassador to the United States, Prof. Ade Adefuye (2nd right) on arrival at the Andrews Airforce base, for the Annual General Meeting of the U.S. Exim Bank and Investors Forum on Agriculture. With them are Mrs Adefuye and Consul General, Mr Habib Habu (left).