* Recapitalistion should not dilute current voting rights
* U.S. lukewarm on idea of recapitalising IMF
* No discussion yet on size of possible recapitalisation
By Abhijit Neogy
PARIS, Oct 13 Most BRICS economies favour
bolstering the capital base of the International Monetary Fund
as a way to contribute to a financial rescue package for Greece,
G20 sources told Reuters on Thursday.
The sources, speaking as Group of 20 finance deputies met in
Paris ahead of finance chief talks on Friday and Saturday, said
the idea would be to avoid altering the IMF's voting structure
in a bid to bring on board the United States, which has shown
little appetite for boosting the IMF's resources.
"We have said this before and have conveyed this again, that
if emerging economies and the BRICS are called upon to
contribute, we can do it via the International Monetary Fund,"
one of the sources said.
"India is open to it, China and Brazil are also okay with
the idea as well," he said.
A second G20 official in an emerging economy delegation said
an IMF recapitalisation should not lead to any dilution of the
current voting structure at the global lender.
The officials did not give details of how big a
recapitalisation could be or what form it could take.
Greece, trapped in a deep recession and fighting to control
a public debt expected to reach 162 percent of gross domestic
product this year, is struggling to overcome a crisis which many
economists now predict will end in default.
The BRICS grouping consists of Brazil, Russia, India, China
and South Africa, five emerging economies that are increasingly
influential because of their size and their relatively fast pace
of growth compared to rich world economies.
European powers such as France and Germany have dithered
over how to rein in a debt crisis that is spreading from
peripheral nations to the euro zone's core, driving worldwide
market jitters and raising the possibility of a major fallback
The United States is piling pressure on the euro zone to get
its fiscal house in order, but Washington's position is that
Europe should raise its own resources to save Greece from
default, rather than boosting IMF resources.
The second official, who is involved with drafting the G20
communique in Paris, said the BRICS proposal may not win support
from the United States and other key powers.
Euro zone leaders are working to come up with a convincing
plan to stem the bloc's debt crisis in time for an October 23
European Union summit.