Japan’s Move to Higher IMF Rank Backed

Britain is willing to let Japan, the world’s second-largest economy, take its place as the second-ranking shareholder in the International Monetary Fund, a British Treasury spokesman said today.

Japan, which now holds fifth place in the Washington-based agency in which the United States is the largest shareholder, has long been pushing for a higher IMF ranking to reflect its growing economic strength.

Under the British proposals, which could be discussed at a Jan. 25 meeting of the IMF’s policy-making Interim Committee, Britain would drop to fourth place behind West Germany, Europe’s most powerful economy.

The United States would remain the biggest shareholder and would pay the largest share of a forthcoming increase in the IMF’s $119-billion resources.

It was unclear how the changes would affect France, currently fourth in the IMF ranking, but French Finance Minister Pierre Beregovoy said last September he would be prepared to accept an equal-fourth ranking with Britain.