Washington (AFP)

Bulgaria's Kristalina Georgieva on Wednesday officially became the second woman to be appointed managing director of the International Monetary Fund (IMF), the Washington institution's board of directors announced.

Ms. Georgieva, who was the executive director of the World Bank, was the only candidate in the running. Aged 66, she had benefited from a change in the status of the Fund, relating to the age limit, to make her application valid.

Its five-year term starts on October 1st.

An economist by training, she replaces Christine Lagarde who has resigned to head the European Central Bank (ECB).

"I am taking up my new duties with a sense of the big challenges: global economic growth continues to disappoint, trade tensions persist, and the debt burden is on the rise in many countries," said Georgieva, quoted by a statement.

"In this context, my immediate priority at the head of the IMF will be to help member countries minimize the risk of crises and be ready to cope with the economic downturn," she added.

With the global economy slowing down, especially in Europe and the US-China trade war, the new IMF executive will have to tackle a daunting task to urge countries to take the necessary steps to not derail growth.

The economic crisis in Argentina is likely to be one of the most difficult issues in the short term as criticism increases against the IMF, which last year granted a loan of 57 billion dollars to the country, and already disbursed 44 billion, exchange of a budget austerity cure. Technical meetings are currently being held in Washington in the presence of the Argentine authorities.

Short-haired Kristalina Georgieva, cheerful and smiling, was named as the EU's candidate on 2 August after a tight vote due to divisions in the EU. His supporters had highlighted his solid experience in international finance.

At the World Bank, where she spent most of her career before becoming Executive Director in 2017, she gained expertise in the field of the environment by multiplying functions in the areas of sustainable development and agricultural issues in particular.

In addition, she has worked extensively for women calling for better education for girls, banning laws that impede women's work, and encouraging women's entrepreneurship, particularly in Africa.

On this point, it should be part of the continuity of Christine Lagarde who has relentlessly shown her willingness to act in favor of gender equality.

© 2019 AFP