New International Monetary Fund (IMF) chief Mr Rodrigo Rato yesterday pledged continuity and an "open-doors" policy at the IMF in his first speech after formally winning the nomination to replace Mr Horst Köhler as the fund's managing director.
Speaking at the Spanish finance ministry where he has been economy minister for the past eight years, Mr Rato did not hint at any immediate policy changes.
At a press conference less than 12 hours after being named for the job, he relied on a crib sheet for some of the more specific questions, such as the IMF's position towards Turkey.
Mr Rato said he did not believe interest rates should rise abruptly, while an improvement in the fiscal and current account deficits of the US would benefit the global economy.
"The US economy... is in a phase of very strong sustained growth... and clearly it is growth that doesn't include inflation risks," he said.
His comments came as a survey of the US service sector showed it is expanding at its fastest pace in seven years.
The Institute of Supply Management index climbed 2.6 points to 68.4, a much steeper rise than forecast by economists and well above the 50 level separating expansion from contraction.
Mr Rato said the presence of Spanish companies in Argentina and Brazil, where the IMF has lent heavily, did not represent a conflict of interest.
His candidacy received broad support from the US and Europe, as well as from a group of Latin American finance ministers, who believe Spanish business interests in the region give him added insight into their economies.
People present at the IMF's board meeting late on Tuesday said Mr Rato was unanimously elected in the second vote. Mr Mohamed El-Erian, a former senior member of the IMF staff and now head of portfolio management at fund manager Pimco, was the other candidate.
The election triggered a debate over a reweighting of votes on the board to give developing countries a bigger role in IMF decision-making. It also raised questions over the tradition that a European should be named for the IMF job while an American heads the World Bank.
