China says IMF governance should shift

LONDON, March 30 (UPI) -- The Chinese government has said International Monetary Fund governance should be changed to reflect the shifting global economy.

In the global crisis, the IMF has risen as a concern, reflecting its importance in a time of need and a political shift, given the U.S. push for more stimulus spending by other nations has been largely rebuffed, The New York Times reported Monday.

Without stimulus spending as a guaranteed success for U.S. President Barack Obama's team at the Group of 20 summit Thursday, the United States will tout IMF contributions as a major concern, the Times said.

U.S. Treasury Secretary Timothy Geithner has said the IMF requires an additional $500 billion. Japan and the European Union have said they will contribute $100 billion, while the United States has said it would contribute about the same.

But, a senior Chinese official said IMF contributions should be based on per capita production, rather than the size of a country's reserves.

"They simply do not want to pony up based on vague promises of governance reform," Eswar Prasad, a Cornell University economics professor, told the Times.