Global financial leaders urge US to increase IMF lending authority

As the International Monetary Fund's (IMF) first dayof spring meetings came to a close here Friday, G20 finance ministers expressedfrustration that Congress had not yet passed legislation that would increase the IMF's lending capability, as well as provide growing economies like Brazil and Chinagreater influence in its decision-making.The bill has been sitting with U.S. lawmakers since 2010. Among the proposalswithin it is a transfer of USD 63 billion from America's contribution to the fund intoa permanent IMF account. That way Congress would no longer have the authority toblock loans, as it did with Ukraine and a USD one billion aid package earlier thimonth."We are all very disappointed by the ongoing failure to bring these reforms toconclusion," said Australia's Treasurer Joe Hockey, who is Chair of the Group ofTwenty Finance Ministers and Central Bank Governors (G20) this year. "They haveconsistently been blocked by the U.S. Congress and I will take this opportunity tourge the U.S. to implement these reforms as a matter of urgency." The U.S. is theIMF's largest member and has 16.7 percent of the vote. Any changes to theinstitution require 85 percent of voting shares.We understand that IMF membership entails benefits and responsibilities, and weare working to fulfill our pivotal responsibility with respect to the implementationof the 2010 quota and governance reforms," said Secretary of the Treasury Jack Lewin his remarks. "The Obama Administration remains fully committed to securinglegislation to back the IMF and update the Fund's governance to reflect the globaleconomy." "While the legislation has not passed, there isimportantbipartisansupport for taking action," he added. "We have included proposed legislation in thePresident's Fiscal Year 2015 budget request, and we will continue to work activelywith Congress to enact the necessary legislation this year." The IMF spring meetingscontinue through April 13.