NEW DELHI: Former Chief Economic Adviser Krishnamurthy Subramanian has been appointed as Executive Director (ED) at the International Monetary Fund, a Personnel Ministry order said on Thursday.
Subramanian is currently Professor (Finance), Indian School of Business.
The Appointments Committee of the Cabinet has approved the appointment of Subramanian to the post of Executive Director (India) at the IMF, with effect from November 1, 2022 for a period of three years or until further orders, by curtailing the tenure of Dr Surjit S Bhalla as ED (India), IMF up to October 31, 2022, it said.
Bhalla was appointed to the post for three years in October 2019.
According to sources, the EDs are elected for a period of two years through voting by the Governors representing the respective constituency countries.
The next two-year term of the EDs will start from November 1, 2022, for which the nominations have to be made within August 29, 2022 and the voting will happen on October 14, 2022.
Bhalla joined the IMF Executive Board on November 9, 2019, after his election by the constituency countries in that electoral cycle.
He was re-elected in the next electoral cycle for the 2-year period from 01.11.2020 to 31.10.2022, leaving only nine days of the remaining term as per the GOI's order, sources said.
As getting India's nominee elected for a period of 9 days only and thereafter causing a bye-election for the new incumbent would have been impractical, the term of Bhalla has been aligned with the electoral cycle of the IMF, ie, upto October 31, 2022 by curtailing the term by 9 days, sources added.
Subramanian, who completed his three-year tenure as CEA in 2021, would be nominated by India for election by the constituency Governors as per electoral cycle for the term starting from November 1, 2022.
The Executive Board of the International Monetary Fund (IMF) is composed of 24 Directors (called Executive Director or ED), who are elected by member countries or by groups of countries.
Seven of the EDs represent single-country constituencies whereas 17 EDs represent multi-country constituencies.
India is in a four-country constituency having India, Bangladesh, Sri Lanka and Bhutan as members.