##ties for applying fund conditionality, including greater use of ex - ante conditionality, appropriately balance the financing needs of the membership with safeguards for fund resources. these reforms could enable the fund to re - emerge as the financier of choice not only for balance of payments needs and programmes designed for macroeconomic stability and structural adjustment, but for insurance in these uncertain times. many member countries who were far removed from the epicentre and had no role or responsibility in the making of the crisis have nevertheless been adversely affected by it. the fund would have to assist them and ensure that the fallout of the crisis in emerging markets and developing countries is contained. we expect that these facilities will be implemented in an appropriately flexible manner. the fund should work closely with its membership to ensure that support is provided in a timely manner to prevent crises at an early stage. in this context, the initial response to the fcl is heartening. we also welcome the initiative of the fund to reform the financing instruments for low income countries ( lics ) to better reflect their diverse needs and circumstances and heightened exposure to global volatility. appropriate precautionary arrangements with higher access levels and ex - ante conditionality for strong performers amongst low income countries also warrant consideration. we call for an early completion of this exercise. the doubling of access limits for concessional lending, including the rapid access component of the exogenous shocks facility ( esf ), is a good interim measure. we also support the initiatives that are underway to bridge the gaps in trade financing and restore normalcy to markets for trade finance flows and rollovers. we urge the imf to collaborate with other international financial institutions ( ifis ) and bilateral agencies to support a truly multilateral effort. the unimpeded flow of trade financing to low income countries for imports of essential items such as food, fertilizer, fuel and capital goods should also be ensured. augmenting the imf ’ s resources in response to the increasing demand for fund financing to manage the crisis the london summit of g20 leaders rightly focused on measures to enhance the resources available with the fund. these decisions should be speedily implemented. the fund is a quota based organization and quotas have to be the primary mechanism through which the resource needs of the fund are ultimately met. this calls for two tasks on the way forward. the first task is to ensure that the april 2008 package of quota and voice reform is ratified at the earliest. the

raghuram rajan : bold face of india ’ s economy speaks out interview with dr raghuram rajan, governor of the reserve bank of india, in the australian financial review published on 24 february 2014. * * * emerging markets jacob greber and greg earl report on governor with an impeccable pedigree. raghuram rajan represents the bold face of india ’ s potential new economy – impeccably credentialed, upbeat and ready to force himself onto centre stage in the global debate about the reshaping of the world economy. appointed as governor of the reserve bank of india in september, rajan has taken no time to make himself heard in international financial markets. last month he took the united states federal reserve to task for failing to recognise the negative consequences to emerging markets from its tapering program, saying international monetary co - operation was breaking down. on saturday, in an interview with the australian financial review, he warned against allowing a world order to emerge in which “ everybody is in their own boat and they sink or swim. we ’ re in it together. ” the former international monetary fund chief economist and harvard economist is also leading the charge against the us congress for stalling reforms to the fund that would increase the say of emerging economies. “ there is only so long the world can wait for the us to get its act together [ on imf reform ] ”, he said, alluding to the fact that countries such as brazil, india, indonesia and china are more likely to consider building alternative bodies to act as emergency lenders to troubled nations and as a global “ truth teller ” of economic realities. above all, rajan – a long - standing member of the global policymaking elite – wants to push emerging markets to the centre of agenda setting. long dominated by the major post - war economies of the north atlantic, india, alongside china, is part of a vanguard determined to be recognised for its ever - rising role in the global economy. “ we emerging markets have to step up to be part of the agenda setting, rather than [ remain ] passive when the agenda is set and then reacting to the agenda ”, he said in a hotel conference room overlooking sydney harbour. “ but i do think if the international fora are not responsive, both in terms of quotas but also in terms of hearing and allowing to the agenda to be set by more emerging markets, you will see a drift away towards more regional groupings, which would