ASSOCIATED PRESS
Robert B. Zoellick, a seasoned player in international financial and diplomatic circles, won the unanimous approval of the World Bank’s board yesterday to become the poverty-fighting institution’s next president.
Mr. Zoellick will succeed Paul Wolfowitz, whose last day is Saturday, ending a stormy two-year tenure. The new president will take the reins Sunday, the first day of his five-year term.
“I am ready to get to work,” Mr. Zoellick said shortly after the board’s action.
Mr. Wolfowitz attracted controversy from the start because of his role in the Iraq war when he was deputy defense secretary. However, it was his role in arranging a hefty pay raise for Shaha Riza, his girlfriend and bank employee, that prompted a staff revolt and calls by Europeans and others for Mr. Wolfowitz’s resignation that forced his departure.
President Bush turned to Mr. Zoellick — his former top trade envoy and No. 2 diplomat — to mend the relationships strained by the Wolfowitz episode. Welcoming the board’s action yesterday, Mr. Bush called Mr. Zoellick “a dynamic leader who is deeply committed to the mission of the World Bank.”
Mr. Zoellick, 53, brings to the World Bank years of experience in the foreign and economic policy arenas under three Republican presidents, starting with Ronald Reagan. Mr. Zoellick left the Bush administration last year to become an executive at the Wall Street giant Goldman Sachs.
The board, in a brief statement, said Mr. Zoellick brings “strong leadership and managerial qualities as well as a proven track record in international affairs and the drive required to enhance the credibility and effectiveness of the bank.”
As World Bank chief, he will need to regain trust, rebuild credibility and mend frayed relations inside the institution as well as with its member countries worldwide. He also will need to persuade countries to contribute nearly $30 billion over the next few years to fund a centerpiece bank program that provides interest-free loans to the world’s poorest countries.
The board said it was confident that Mr. Zoellick will be able to “address the challenges facing the bank.”
Of those challenges, Mr. Zoellick said: “The world has changed enormously since the creation of the bank some 60 years ago. This accomplished institution of development, reconstruction and finance not only needs to adapt, it must lead the way” to bring about global change to help the world’s poor.
German Development Minister Heidemarie Wieczorek-Zeul, who was highly critical of Mr. Wolfowitz, was one of the first to congratulate Mr. Zoellick.
“He brings all of the qualifications with him needed to successfully fill this demanding and responsible role. … The greatest tasks facing mankind in the 21st century are waiting: The fight against poverty and climate change,” she said. “I look forward to cooperating with him and wish him much success.”
To begin the healing process, Mr. Zoellick took a two-week global tour to Africa, Europe and Latin America. His goals were listening and learning, he said.
He also has been working to keep lines of communications open with the board. Mr. Zoellick met with the board for about four hours Wednesday to discuss key issues, including challenges of development, the bank’s governance and leadership as well as future strategic directions. He plans to reach out to staff as well.
By tradition, the World Bank has been run by an American. The Bush administration made clear it wanted to keep that decades-old practice firmly intact throughout the Wolfowitz crisis. The United States is the bank’s largest shareholder and its biggest financial contributor.
The bank, created in 1945 to rebuild Europe after World War II, provides more than $20 billion a year for projects such as building dams and roads, bolstering education and fighting disease. The bank’s centerpiece program offers interest-free loans to the poorest countries.
Please read our comment policy before commenting.