Washington : Christine Lagarde, managing director of the IMF (International Monetary Fund) envisioned that if Chinese economy continues to grow at the same pace, there is a possibility that within a decade the headquarters of the ‘International Monetary Fund’ could be based in Beijing instead of Washington D.C, It is being claimed that over the next few years China will become the world’s largest economy by surpassing the US. Under these circumstances, Lagarde’s exclamation appears to be an indicator.
The establishment of ‘International Monetary Fund-IMF’ has completed its 70 years. Till date, US and other western countries have held considerable supremacy on the (IMF) monetary fund. The United States holds the highest weightage of 16.5 percent in the decision-making process of the monetary fund. However, in this process, China despite rapid economic growth has been allocated only 6.41 percent weightage. China has been frequently complaining against this.
On this background, Lagarde said that if China and other Asian countries continue with the current momentum of economic growth, then, it is likely that the headquarters of the Monetary Fund, in the next 10 years will not be in Washington D.C., US, but might be relocated to Beijing, China. The headquarters of IMF has been in the United States from the date of its establishment. However, Lagarde has also indicated that, while the world economy is witnessing significant changes, this headquarters may not remain in US permanently.