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Politics : View from the Center and Left

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From: JohnM5/18/2007 2:42:28 PM
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Here's some of the European view of Wolfowitz' resignation. Interesting that the US newspapers have none of this. Including the NYTimes.
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Financial Times FT.com

Europe urges bank to restore reputation

By Hugh Williamson in Berlin and Daniel Dombey in London

Published: May 18 2007 09:40 | Last updated: May 18 2007 09:40

Heidemarie Wieczorek-Zeul, the German development minister who played a leading role in urging Paul Wolfowitz to resign as World Bank president, said on Friday she hoped his departure would stop the “departure of competent people from the bank”.

Ms Wieczorek-Zeul, who speaks for Germany on bank affairs, said Mr Wolfowitz’s decision to quit deserved “thanks and recognition”, and stressed that procedures for his replacement should be “open and transparent”. She said the successor should he chosen on the basis of “his or her qualifications and competence” . She would not be drawn on whether Washington should retain the right to name the successor, although a spokesman for German chancellor Angela Merkel said this should be the case.

Ms Wieczorek-Zeul said the bank’s “long term focus on tackling poverty” should continue under a new president, as should its efforts to tackle corruption and strengthen governance systems.

Germany played a frontline role in the Wolfowitz controversy in recent weeks, based on its presidency of the European Union and chairmanship of the World Bank executive board.

Ms Wieczorek-Zeul was the first European minister to call for Mr Wolfowitz to step down, arguing on April 22 that he should “draw the consequences” of putting the bank’s reputation “in doubt”.

Ms Wieczorek-Zeul, one of the most left-wing members of Ms Merkel’s right-left cabinet, was critical of Mr Wolfowitz when he took the post in 2005, linked to his role in the Iraq war. Since then she had a good relationship with the president, according to aides, and her resignation calls were linked to her concerns about the bank’s future, they said.

Britain expressed “relief” on Friday at the resignation of Paul Wolfowitz, president of the World Bank, over an ethics controversy. Hilary Benn, British development minister, said: ''I am relieved that this damaging time for the bank is finally over”.

Politicians in Europe argued that Mr Wolfowitz had acted appropriately by resigning, following controversy over the handling of the generous secondment package for this girlfriend. Mr Wolfowitz said on Thursday he would step down on June 30.

European commentators and non-governmental organisations called immediately for a reform to the appointment procedure for the new president, arguing that the US should not have the automatic right to appoint Mr Wolfowitz’s successor.

Mr Benn said: "I acknowledge the achievements of the bank over the past two years (during Mr Wolfowitz’s term in office). It has helped to deliver debt relief to the poorest countries, agreed a new African Action plan and is investing more in education, health and clean water. The bank’s task now is to renew its efforts to lift people out of poverty”.

The European Commission official said: "Political leadership (in the bank) is very important - the bank is not just a technical body but also a political one."

Eckhard Deutscher, who represents Germany on the bank’s executive board, told reporters in Washington that Mr Wolfowitz had “damaged the World Bank” by not resigning in April at the beginning of the controversy.

Germany took the lead in recent weeks in calling for Mr Wolfowitz’s resignation, arguing that his continued presence would damage the bank’s reputation, especially in developing countries.

Peer Steinbrück, German finance minister, said on Friday that Mr Wolfowitz had “drawn the right consequences” by resigning. He said the task now was “not to look back at what happened but to work quickly to rebuild the bank’s reputation and that of its ability to deliver, especially in developing countries”.

Ngozi Okonjo-Iweala, former Nigerian finance minister who had worked with Mr Wolfowitz, told the Reuters news agency that it was “time to move on” following the president’s resignation, adding that the anti-corruption initiatives promoted by Mr Wolfowitz “should be continued” under a new president.

Oxfam, the UK-based development agency, said Mr Wolfowitz’s successor “should be chosen in an appropriately open and responsible way”. The existing procedure, whereby the US chooses the head of the World Bank and European countries the IMF chief, “must end”, the campaign group said.

‘Politiken’, the liberal Danish newspaper, said that, after the European countries had shown unity on calling for Mr Wolfowitz’s resignation, they should now in a similar way “demand changes to the way World Bank presidents are appointed”.

165 leading development experts and NGOs this week called in an open letter for reforms to the appointment procedure, but the White House indicated on Thursday that it would continue with the existing procedures.

Mr Deutscher said that Mr Wolfowitz would not attend the G8 industrialised nations’ summit in northern Germany in early June.

ft.com
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