Framework for the Application of the Standards of Ethical Conduct vis-à-vis the Managing Director

July 19, 2011

The Executive Board has approved the following framework for the application of the standards of ethical conduct vis-à-vis the Managing Director:

(a) The terms of reference of the Ethics Committee of the Executive Board shall be expanded to give the Ethics Committee the responsibility for addressing issues that may arise in connection with the application of the standards of ethical conduct to the Managing Director pursuant to the Managing Director’s contract. These responsibilities include: (a) providing advice to the Managing Director on ethics issues, either at the request of the Managing Director or otherwise; (b) making recommendations to the Executive Board as to whether the Executive Board should approve the Managing Director’s acceptance of particular awards, honors or decorations; (c) conducting investigations of the Managing Director in response to allegations of misconduct, pursuant to the procedures set forth below; and (d) making recommendations to the Executive Board in circumstances where the Ethics Committee has determined that misconduct has occurred.

(b) In matters related to the Managing Director, the Ethics Committee’s meetings shall be restricted to members only and the permanent secretary of the Committee, except at the Committee’s invitation. The Committee may seek the views of the Fund’s Ethics Advisor ex officio on any matter related to the Managing Director with which it is dealing.

(c) The Ethics Committee shall consider any alleged misconduct by the Managing Director that may be brought to the Ethics Committee’s attention either directly by the complaining party, through a Fund official, including the Ethics Advisor, or through the Fund’s Integrity Hotline. The investigation procedures to be followed by the Committee shall be those applicable to the conduct of investigations by the Committee when carrying out investigations into allegations of misconduct with respect to Executive Directors. The Managing Director shall, in all cases, have an opportunity to present his/her views to the Committee.

(d) If a majority of the Committee concludes that misconduct has been committed by the Managing Director, and taking into account both the nature and seriousness of the misconduct and the Managing Director’s prior record of conduct, the members of the Committee shall make recommendations to the Executive Board concerning the appropriate action to be taken. The Managing Director shall, in all cases, have an opportunity to present his/her views to the Executive Board. If a majority of the Ethics Committee concludes that no misconduct has been committed, the Managing Director shall be so informed and no recommendations shall be made.

(e) Upon receiving a recommendation by the Ethics Committee, the Executive Board shall consider the matter and, in accordance with Rule C-5(b)^[1], an Executive Director selected by the Executive Board shall act as Chairman.

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The Managing Director’s contract is published at: https://www.imf.org/en/News/Articles/2024/09/27/terms-of-appointment-of-kristalina-georgieva-as-managing-director-of-the-international-monetary-fund

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[1] See By-Laws of the International Monetary Fund, Rules and Regulations, Sixty Seventh Issue, November 2022.