Canada Comes Out of the Closet

WASHINGTON (Reuters) May 15 2007 - The US failed to win the support of key allies in the Group of Seven over World Bank President Paul Wolfowitz's leadership, with only Japan standing by Washington, a bank board source said Tuesday.

"Japan was aligned with the United States, but others, including Canada, were against Wolfowitz continuing," the European source told Reuters, following a conference call of G7 officials. The G7 comprises the United States, Japan, Canada, Italy, France, Germany and Britain.

Editorials call for Wolfowitz to resign, cite need for good governance at Bank

Washington D.C., April 15, 2007 -- The editorial pages of newspapers across the world today called for Wolfowitz to resign, adding pressure to the World Bank's Board of Governors as they meet in Washington this weekend.

Facing a rising tide of public outrage at the sleaze and corruption scandal engulfing the Bank's President, Governors must decide whether to call for his resignation or risk leaving the institution severely compromised with Wolfowitz at the helm. Editorial pages in the UK, Kenya, France, Pakistan, and Turkey carried calls for Wolfowitz to go.

The International Herald Tribune said: What might Wolfowitz himself say if he discovered that a government receiving World Bank loans was making similar sweet arrangements for the personal friends of its president?

Governors are being challenged by public opinion in their respective capitals to demonstrate that they are practicing good governance at the Bank, and promoting transparency and accountability in the Wolfowitz matter.

Wolfowitz appears unrepentant and unclear that he has done wrong. An email to all staff late Saturday was a step back from his position of Thursday when he apologized for his "mistake". On Saturday, he did not apologize for the damage done to the Bank or offer further explanation but said that "misleading information was circulating".

Staff are said to be angry at the lack of action by the Bank's board, saying that the damage to the Bank's ability to fulfill its mandate in developing countries is enormous.