Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Yellen tells IMF's Georgieva data-rigging probe raised 'legitimate' concerns-Treasury

Published 10/11/2021, 11:09 PM
Updated 10/11/2021, 11:25 PM
© Reuters. FILE PHOTO: Treasury Secretary Janet Yellen testifies during the House Financial Services Committee hearing in Washington, U.S., September 30, 2021.  Sarah Silbiger/Pool via REUTERS

WASHINGTON (Reuters) - U.S. Treasury Secretary Janet Yellen told International Monetary Fund Managing Director Kristalina Georgieva on Monday that a law firm's report into World Bank data-rigging allegations against the IMF chief "raised legitimate issues and concerns" but a lack of direct evidence meant a leadership change was unwarranted.

Yellen said in the statement that "proactive steps must be taken to reinforce data integrity and credibility at the IMF," and Georgieva and other Fund leaders must renew their commitment to upholding transparency in research, analysis and policies.

The call came after the IMF executive board on Monday reaffirmed its full confidence in Georgieva's leadership of the Fund after a lengthy review of a World Bank external investigation report https://thedocs.worldbank.org/en/doc/84a922cc9273b7b120d49ad3b9e9d3f9-0090012021/original/DB-Investigation-Findings-and-Report-to-the-Board-of-Executive-Directors-September-15-2021.pdf.

The report by law firm WilmerHale alleged that when Georgieva was World Bank CEO in 2017, she pressured bank staff to alter data to boost China's score in the flagship "Doing Business" report. The firm's investigation is ongoing and will probe further World Bank staff misconduct in the 2017 China alterations and in 2019 alterations of Doing Business data affecting the scores of Saudi Arabia and other countries.

© Reuters. FILE PHOTO: Treasury Secretary Janet Yellen testifies during the House Financial Services Committee hearing in Washington, U.S., September 30, 2021.  Sarah Silbiger/Pool via REUTERS

Yellen told Georgieva her priority in pushing for a thorough review of the matter was "to preserve the integrity and credibility of the World Bank and the IMF."

"Secretary Yellen also conveyed that Treasury will monitor follow-up closely, evaluate any new facts or findings and that the WilmerHale report does underscore the need for shareholders to be vigilant in defending the integrity of both the Bank and the Fund," the Treasury said in its statement.

Latest comments

the Fox watching the henhouse , really beautiful
I have concerns about the rigged data here
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.