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On Path To ECB, Lagarde Resigns As IMF’s Chief

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Christine Lagarde submitted her formal resignation as managing director of the International Monetary Fund to prepare for the nomination process to be the next president of the European Central Bank and to allow the IMF to begin finding her successor.

Ms. Lagarde was announced as the leading candidate for the ECB job two weeks ago, and had relinquished leadership of the IMF at that time, but she had not resigned. Her resignation will formally take effect Sept. 12.

She announced her formal resignation in a statement Tuesday, saying “I have made this decision in the best interest of the Fund, as it will expedite the selection process for my successor.”

Day-to-day leadership of the fund has already been handed over to David Lipton, the American who is the IMF’s No. 2 official as the first deputy managing director.

Her term had been scheduled to run through 2021, but by stepping down now, the IMF can immediately begin the process of finding her successor. The IMF’s executive board, composed of 24 directors who represent the 189 countries that collectively own the IMF, will formally undertake the search.