IMF Chief Signals New Chapter in Ties with Asia

Rebuilding relationship with Asia a main IMF goal over next 12 months

Korea conference occasion to explore how IMF might better help Asia

Asian ambassadors echo desire for closer IMF-Asia ties

Ties between the IMF and many Asian countries have been strained since the financial crisis that engulfed Asia over a decade ago, prompting the IMF to make sizable loans to many countries in the region.

In a welcoming address to the ambassadors and other officials, Strauss-Kahn reflected on the region’s memories of the Asian financial crisis, emphasizing that rebuilding the institution’s relationship with Asia was “one of the main goals of the IMF over the next 12 months.”

“We don’t want to hide from our responsibilities, but on the other hand, we want to be positive and forward looking,” he said.

Looking forward

The IMF chief said the conference—which is being jointly organized by the IMF and the government of Korea, and will take place in the Korean city of Daejeon in mid-July—would be an occasion to explore how the IMF might be of help to Asia.

“Even though there are some parts of Asia which are doing better than others, there are different kinds of assistance and advice that we can provide to different countries,” he said. The IMF can provide services in three main areas: technical assistance, funding, and policy advice.

A listening IMF

Strauss-Kahn’s remarks were welcomed by Don Pramudwinai, the ambassador of Thailand, one of the countries that received IMF financial assistance during the Asian crisis.

“I see it [the IMF] is more open-minded now,” Pramudwinai said “The response I heard from the Managing Director is that he is ready to listen.”

Inviting his fellow...