Gita Gopinath’s departure rekindles debate about US exorbitant influence at IMF
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Article summary
Gopinath to be replaced by US Treasury Secretary’s chief of staff, while Fund’s voting structure preserves US veto power despite calls for greater global representation.
On 22 August, the IMF’s First Deputy Managing Director, Gita Gopinath, left the Fund to return to Harvard. By convention, European countries select the IMF’s Managing Director, while the US Treasury nominates the Deputy Managing Director (DMD) (see FAQ, What is the gentleman’s agreement?). According to an 18 September IMF press release, Gopinath is set to be replaced by US Treasury Secretary Scott Bessent’s chief of staff Daniel Katz, at a moment when the US, under President Trump’s “America First” agenda, is reshaping its approach to international institutions and pushing the Fund to scale back work on areas like gender and climate (see Dispatch Springs 2025).
Gopinath’s exit comes after the IMF’s 16th General Review of Quotas, which concluded at the end of 2023, failed to deliver urgently needed reform – with a 50 per cent quota increase but no change to voting shares, making it harder for the Global South to increase their vote shares in future reviews and preserving the US’s veto power.
Emma Burgisser of UK-based civil society organisation Christian Aid noted, “there is a good reason why 192 countries just agreed in Sevilla that the IMF should consider enhancing the geographical representation of IMF senior management positions, including a potential additional DMD. Katz’s appointment only further tightens the global North’s grip over the institution.”
