BRASIL / IMF: Leading Candidate Lagarde Seeking Support Of Emerging World.

M.PRESS/

    French FM Christine Lagarde began her worldwide tour in Brasil to garner support for the IMF chief job.
    She is reportedly offering emerging economies a greater say at the IMF...especially in speeding-up the existing 5-year period for voting/influence recalculations.
    But the 187 member IMF has already approved giving emerging economies increased voting rights and board seats by the end of 2012.
    Under 2008 plans, Brasil’s IMF voting weight will go from 1.4 %...to 2.3 %...by 2012.
    Today, 4 of the BRICS...India, China, Russia and Brasil...account for less than...12% of the vote.
    Brasil FM Guido Mantegna says he will not oppose an EU candidate...but has not come out and endorsed Lagarde.
    Russia's PM Putin has endorsed Lagarde...as have the UK, Sweden and Germany.
    According to BLOOMBERG, Brasil wants Lagarde to run the IMF...only until the end of next year... when DSK's term would have expired.
    Mexico's Augustin Carstens, the only other announced candidate, has kicked off his campaign in Spain.
    However, many nations regard Carstens as too orthodox a market economist...even with his extensive IMF experience.
    One argument against Lagarde's candidacy is...that she is a lawyer...not a trained economist.
     But if selected...she would be the first woman to head the trillion dollar IMF.

IMF: OPINION: Denial...The Problem With Christine LaGarde...As Possible New Chief.

NYTIMES/ OPINION : SIMON JOHNSON

NYT: "...Lagarde has a serious problem that may still derail her candidacy, if there is any substantive, open or transparent discussion of her merits: There is major design flaw in the euro zone, and Ms. Lagarde is the last person that non-European governments should want to put in charge of helping sort that out."

AND: "The bigger issue is that more recently she and the French authorities in general have been at the forefront of efforts to deny there is any deep problem and to resist a systematic solution."

 AND:  "...Lagarde has led the “no restructuring” school of thought in recent months with regard to Greece — and presumably other euro zone countries, as well. Debt restructuring is no panacea, but to take the option completely off the table is not smart — unless you really think there is no deeper issue that must be addressed."