India Nominated Arundhati for World Bank MD

India has nominated State Bank of India chairperson Arundhati Bhattacharya as the World Bank managing director and chief operating officer’s position.

India needs strong backing of US and other category 1 member countries, who have a large voting share.

The selection has to be cleared by the World Bank’s board of directors, which consist of country representatives.

World Bank is led by a Board of Governors, made up of a representative for each of the 189 shareholder countries of the Bank, which serves as the policy-making body for the Bank.

But since it only meets once a year, the Board of Governors elect a 24-person Board of Directors (also called Executive Directors) that meets bi-weekly.

Mukesh Nandan Prasad at the bank represents India, Bhutan, Sri Lanka and Bangladesh in the Board of Directors.

The international financial institution provides loans to developing countries for capital programs.

India has a small share of over 2% in voting rights at WB, compared to over 15% by US.

Former chief economic adviser of India, Kaushik Basu was appointed the chief economist of WB in 2012 for four years. He has been succeeded by Paul Romer of US.