May 12 (Bloomberg) -- John Lipsky, the first deputy managing director of the International Monetary Fund, will leave his post when his current term expires on Aug. 31, the IMF said by e-mail today.
The position, which Lipsky took over in September 2006, is the IMF’s second-highest and is traditionally held by a U.S. citizen. It gives the 64-year-old Lipsky a high profile that includes rounds of speeches at various forums and occasionally serving as chairman of IMF meetings.
IMF Managing Director Dominique Strauss-Kahn, in the e-mailed statement, called Lipsky “an influential proponent of multilateralism and deeper financial surveillance.”
Lipsky, a former vice chairman of JPMorgan Chase & Co., worked at the IMF for 10 years before leaving for Wall Street in 1984. He spent much of his career as an economist and researcher at Salomon Brothers Inc. and Chase Manhattan Corp.
A graduate of Wesleyan University, who also has a doctorate in economics from Stanford University, Lipsky has been involved in his current job in IMF financial surveillance as well as with the Group of 20 nations.
Lipsky will stay on as a “special adviser” through the G-20 summit in November at the request of Strauss-Kahn, the IMF statement said.
He was appointed by Strauss-Kahn’s predecessor Rodrigo de Rato at a time when the IMF was criticized as irrelevant before the global financial crisis began.
Since then, the IMF had its resources tripled by the G-20, has helped rescue economies from Ukraine to Greece and was tasked by leaders with a host of new missions that prompted the institution to raise its budget last month.
The search for a replacement, who will need the approval of the IMF board, has started, the fund said in the statement.
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