Taking the G-20 nations' decision forward, India today pitched for a six per cent shift in voting power for developing countries in the World Bank and cautioned against any complacency by the lender in helping them tackle the impacts of the financial crisis.
"We should carry forward the decision taken at Pittsburgh (G-20 meeting) and aim at six per cent shift in voting power to developing and transition countries," finance minister Pranab Mukherjee said at a meeting of the Development Committee of the World Bank in Istanbul.
Ahead of annual IMF-World Bank meetings in the Turkish city, he said such a significant shift in voice for developing countries alone would bring parity in the governance of the World Bank. He suggested that economic weight of a country must be the primary criteria in any methodology for any realignment of voting powers in the World Bank.
Mukherjee said GDP at Purchasing Power Parity should be the most relevant measure. Instead of economic growth as given in a country's currency, purchasing power parity measures the GDPs of countries by comparing purchasing power of their respective currencies.
Calling for a World Bank specific formula for voting power, he said it should not be linked to IMF. While praising the role of the World Bank in helping developing countries tackle the impact of financial crisis, he warned against complacency given the "uncertain trajectory of recovery".
