The International Monetary Fund announced that Gita Gopinath, the Chief Economist of IMF, will take over the role of the First Deputy Managing Director (FDMD) in the organization early next year.
Gopinath will succeed the current post holder, Geoffrey Okamoto, serving under the IMF Chief, Kristalina Georgieva. The move would mark a historic first for the fund, where it will be led by two women.
The IMF Chief has shown great confidence in Gita, saying that she was “the right person at the right time.”
Gita Gopinath can prove to be highly influential to the fund’s relations with Pakistan as the country is very close to reinitiating a $6 billion arrangement through the Extended Fund Facility (EFF) of the IMF.
The change in the leadership of IMF is highly relevant for country’s that often require assistance from the International Monetary Fund, namely Pakistan.
Pakistani officials had recently announced that both parties had come to an agreement to revive the program on a staff level. The news of the inflow of cash from IMF has been affecting the Pakistani economy as the dollar-rupee parity has seen drastic fluctuations.
Georgieva further remakred that she believed that the newly appointed economist would be a great leader given the challenges being faced by many economies during the COVID-19 pandemic. She further added that Gita is a well-recognized macroeconomist around the world and the perfect candidate for the position.
The Indian-born economist has shown “intellectual leadership” in helping and solving major crises around the world, stated the IMF Chief.
Speaking to the media, Gopinath said that during the pandemic, IMF had a crucial role to play around the world and nothing could be achieved without international cooperation.
