Germany, Europe's largest economy, has backed Kristalina Georgieva's second term as head of the International Monetary Fund (IMF), with Finance Minister Christian Lindner calling her "the right person", AFP reports.
Georgieva has led the IMF "in difficult times in recent years," Lindner said in X.
"I am convinced that she is exactly the right person to lead the institution through the challenges ahead and to strengthen the IMF as an advocate of structural reforms in our economies," he added.
Georgieva, a 70-year-old Bulgarian economist, said last week she would be "honoured" to head the Washington-based financial institution for a second term.
Her current term ends on September 30.
Since she took office in 2019, the IMF has repeatedly stepped in to support countries facing significant financial difficulties due to the Covid-19 pandemic and the economic impact of Russia's invasion of Ukraine.
In an interview earlier this year, Georgieva said 2024 would be a "very difficult year" for fiscal policy as countries seek to deal with debt burdens accumulated during the pandemic.
Inflation is also likely to remain a challenge for many economies, including the US, as central banks seek to loosen monetary policy without raising prices.
Under a controversial, decades-old agreement between Europe and the US, the IMF has historically been run by a European and the World Bank by a US citizen.
In recent weeks, Georgieva has received support from key European allies, including French Finance Minister Bruno Le Maire, who told reporters on the sidelines of the G20 summit in Brazil that she was doing a "great job" at the helm of the IMF. / BGNES
