‘Korea Needs More Voting Rights in World Bank’

Strategy and Finance Minister Yoon Jeung-hyun says Korea needs more voting rights in the World Bank.

“When reforming the governance of the World Bank, Korea should have its voting rights increased since the current quota under-represents Korea’s economic power,” he said in a meeting with World Bank President Robert Zoellick Saturday ahead of the annual meetings of the bank and the International Monetary Fund in Istanbul, Turkey.

Yoon also said, “Korea plans to actively participate in a capital increase for the bank.”

Korea holds a share of 1.01 percent in the World Bank with an investment of 1.9 billion dollars. The country last year accounted for 1.5 percent of global GDP.

In the third summit of G-20 countries in Pittsburgh last month, leaders agreed that the quota of international finance organizations should be revised and to hand over at least three percent of the bank’s voting rights and five percent of the IMF’s to newly emerging economies.

Yoon also expressed Seoul’s commitment to repay early a loan from the International Development Association under the World Bank between the 1960s and 70s this year. Korea owes 35 million dollars by 2022.

When Zoellick asked about the future initiatives of the G20 meeting, Yoon replied, “Leaders are likely to discuss implementation of specific measures to enable sustainable growth.”

Yoon also attended a meeting of the International Monetary and Financial Committee over the weekend. “The IMF should directly support global economic recovery with fiscal support and special drawing right issuance.”

The 24-member committee is the IMF’s highest-level consultative body, reflecting the composition of the IMF`s executive board.

cha@donga.com