page_title: Horst Köhler
section_title: Head of the International Monetary Fund, 2000–2004
hierarchical_section_title: Horst Köhler / Head of the International Monetary Fund, 2000–2004
caption_attribution_description: Paul David Hewson (Bono) talking to IMF Managing Director Horst Köhler (later president of Germany) and discussing debt relief at the Prague Congress Centre in 2000 in Prague
context_page_description: Horst Köhler is a German politician of the Christian Democratic Union, and served as President of Germany from 2004 to 2010. As the candidate of the two Christian Democratic sister parties, the CDU and the CSU, and the liberal FDP, Köhler was elected to his first five-year term by the Federal Assembly on 23 May 2004 and was subsequently inaugurated on 1 July 2004. He was reelected to a second term on 23 May 2009. Just a year later, on 31 May 2010, he resigned from his office in a controversy over his comment on the role of the German Bundeswehr in light of a visit to the troops in Afghanistan. During his tenure as German President, whose office is mostly concerned with ceremonial matters, Köhler was a highly popular politician, with approval rates above those of both chancellor Gerhard Schröder and later chancellor Angela Merkel.
  Köhler is an economist by profession. Prior to his election as President, Köhler had a distinguished career in politics and the civil service and as a banking executive. He was President of the European Bank for Reconstruction and Development from 1998 to 2000 and head of the International Monetary Fund from 2000 to 2004.
context_section_description: Köhler was appointed Managing Director and Chairman of the Executive Board of the International Monetary Fund (IMF) in 2000. The government of Gerhard Schröder nominated him after their first nominee, Caio Koch-Weser, was rejected by the United States. Though respected, Köhler was not a particularly well known or prestigious figure in international financial circles. At the time, he was one of three candidates for the IMF position, with Japan having put forward its former deputy finance minister Eisuke Sakakibara and several African nations backing Stanley Fischer.
  In one of his first moves at the IMF, Köhler joined British Chancellor of the Exchequer Gordon Brown in hosting a gathering of anti-poverty activists to discuss an international campaign to write off billions of dollars in debts that developing nations owe the IMF, World Bank and other government creditors.
  Before entering the office of Managing Director, Köhler had spent time in Indonesia during the 1997 Asian financial crisis and thereafter cited it as an example of the fund's tendency towards intrusive micromanagement. Instead, he intended to focus the Fund primarily on broad economic management and to reduce overlapping activity with the World Bank. Shortly after taking office in 2000, he established the Financial Sector Review Group under the leadership of John Lipsky to provide an independent perspective on the Fund's work on international financial markets, In March 2001, on the group's recommendations, he created the International Capital Markets Department, a unit to anticipate and head off financial crises in countries to which the fund makes loans.
  In 2001, Köhler recommended naming Timothy Geithner to replace Stanley Fischer as deputy managing director; instead, the US government under President George W. Bush successfully pushed for Anne O. Krueger to take the position.
  In order to accept his nomination as presidential candidate, Köhler left the IMF a year before his term was scheduled to end in May 2005. Among his accomplishments were overseeing debt crises in Brazil and Turkey and expanding debt relief for the world's poorest countries. He had less success resolving the continuing debt problems in Argentina.
  He lived in Washington, D.C., from 2000 to 2004.
caption: Köhler as head of the IMF, discussing debt relief for developing countries with the musician Bono
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