David Lipton, a US economist is appointed as the International Monetary Fund’s (IMF) temporary leader, replacing Christine Lagarde, nominated to head the European Central Bank (ECB).
“We accept the decision Christine Lagarde to temporarily release his post at the IMF, during the election period.
“We have confidence in Deputy Managing Director First, David Lipton as the IMF Managing Director,” said the IMF Executive Board in an announcement yesterday.
Meanwhile, Lagarde announced his decision to vacate his post temporarily, after being nominated to head the ECB.
It follows the European Union (EU) announcement on their decision to fill several positions within the block, including nominating Lagarde to replace ECB Chief Mario Draghi, who will end the service term this November.
“I was deeply touched when I was elected as President of the European Central Bank.
“Following that, and after discussions with the IMF Executive Board Ethics Committee, I decided to temporarily release responsibility as IMF’s Managing Director, throughout the nomination period,” Lagarde said in a statement.
The nomination also means, Lagarde will resign two years earlier, before terminating the second term of service for five years as the head of the IMF.
Before coming to the Fund, Lipton was Special Assistant to the President, and served as Senior Director for International Economic Affairs at the National Economic Council and National Security Council at the White House.
Previously, Lipton was a Managing Director at Citi, where he was Head of Global Country Risk Management. In that capacity, he chaired Citi’s Country Risk Committee, worked for the Senior Risk Officer, and advised senior management on global risk issues.
Prior to joining Citi in May 2005, he spent five years at Moore Capital Management, a global hedge fund and, before that, a year at the Carnegie Endowment for International Peace.
Lipton served in the Clinton administration at the Treasury Department from 1993 to 1998. As Under Secretary of the Treasury for International Affairs — and before that as Assistant Secretary – Lipton helped lead the Treasury’s response to the financial crisis in Asia and the effort to modernize the international financial architecture.
Before joining the Clinton administration, Lipton was a fellow at the Woodrow Wilson Center of Scholars.
From 1989 to 1992, he teamed up with Prof. Jeffrey Sachs then at Harvard University, working as economic advisers to the governments of Russia, Poland and Slovenia during their transitions to capitalism.
Lipton began his career with eight years on the staff of the International Monetary Fund, working on economic stabilization issues in emerging market and poor countries.
Lipton earned a Ph.d. and M.A. from Harvard University in 1982 and a B.A. from Wesleyan University in 1975.