Former College President Jim Yong Kim, who began his five-year term as the World Bank's 12th president on July 1, has conveyed an enthusiasm and optimism for his new post that bode well for a successful tenure, according to former Bank director of international trade Uri Dadush. Kim's first months at the Bank have focused, and will continue to focus, on staff appointments and meetings, rather than major policy pronouncements, he said.
"My sense is that he's made a good a start, but these are very, very early days," Dadush said. "He's saying and doing the right things so far for a new president of the World Bank, and that is that he's listening to a lot of people and he's learning."
Kim will also be taking his first trip to Africa as head of the Bank from Sept. 4-6, according to a Bank press release.
"Africa is truly taking off, and I look forward to hearing directly from governments and people on the continent on how the Bank can help drive more inclusive development throughout Africa," Kim said in a statement.
As part of his trip, Kim will visit South Africa and Cote d'Ivoire, an "important economic engine in West Africa," the press release said.
Kim's passion and energy for his work is an encouraging start, Dadush said.
"That's a sign that they're feeling quite comfortable and that they're enjoying what they're doing," he said. "Believe me, that's not always the case with World Bank presidents."
Kim has not made any premature policy pronouncements, and he has focused on conveying the positive message of the Bank to the world, Dadush said. He has also made an effort to recognize the contributions of his predecessors.
Kim recently announced his intention to maintain the Bank's support for global agriculture, according to a Bank press release.
"We cannot allow these historic price hikes to turn into a lifetime of perils as families take their children out of school and eat less nutritious food to compensate for the high prices," Kim said in a statement.
As president, Kim has made himself accessible and has begun the process of contacting and meeting with people, Dadush said.
"I know that people respond very well to him personally," Dadush said.
When he was only a nominee for Bank president, Kim also did not have any clear plans in terms of priorities, Dadush said.
"He's confirming the mission of the bank the reduction of poverty at this point, but where he's going to put his chips is not clear yet," Dadush said.
Dadush said the most important tasks for Kim will be to improve the quality and morale of Bank staff by providing clear direction while also taking an aggressive line on replenishing the Bank's resources.
"He can certainly streamline the organization of the bank to make it more effective," Dadush said. "He has a lot of power over appointments, and he can make appointments that are based on merit or on political considerations, and striking the balance between those two is very important for the institution."
Government professor John Carey said that because Kim comes from a public health and education background, making successful appointments will be key to achieving his goals.
"There's a lot of people angling and people who want the top job, and when you don't come from an economics or finance background, it's easy to listen to two people telling you different things since they might both sound persuasive," Carey said. "I would bet that the first couple months of his tenure are not about policy pronouncements, but staff issues."
Dadush said that finding a way to give rapidly developing nations such as China and Brazil more weight at the Bank while maintaining a strong collaborative relationship with them will be essential.
Although the president can shift the institution's priorities at the margins, it is important to note that he is still largely beholden to the countries that fund the Bank, Dadush said.
Kim's greatest challenge as World Bank president will be to migrate from being an educator and an expert in health care to being the executive of an institution focused on economic policy and structural reform designed to accelerate growth, Dadush said.
Although his strong public health background may shape his presidency to some extent, Kim must stay focused on the Bank's primary mission of growth and poverty reduction, Dadush said.
"The man has enough IQ points, there's no question about that, and he has charm and he has energy, but gaining credibility in those areas requires experience and judgment," Dadush said. "So he's going to struggle in that zone, and we'll see how he does."
Carey said that while Kim does not fit the conventional profile for World Bank presidents, it was no surprise that President Barack Obama nominated him.
"I think he's going to broaden his own repertoire beyond public health," Carey said. "He's got to figure out when health is central to the World Bank's mission, and I'm sure there's going to be times when he's going to have to put those priorities on hold and move other things up to the top of the list."
Dadush said that Kim's possible emphasis on health care could be positive for the Bank, as long as it is done judiciously and does not undermine the Bank's growth agenda.
"Most people in the Bank realize that if you want to provide people with health and education, you need the resources to do that, and you will only have the resources if your country grows," he said.
Carey said that Kim's strong communication skills and his ability to motivate others to get behind an agenda will help him explain the importance of public health matters for development to World Bank member countries.
Resources will also be a major concern for Kim, Carey said. The bulk of the Bank's funding comes from governments in the developed world, many of which are currently facing economic crisis.
While Kim expressed concern over the global economy, he said that Europe's progress has been encouraging, The New York Times reported. He said that the bank was "well capitalized" to offer assistance if the situation worsened.
On his first day in office, Kim said the Bank would be open to providing support not only in the form of capital, but also in technical expertise to "crisis-plagued high-income countries like Greece," The Times reported.
"In offering such assistance, the Bank would not be disbursing loans or grants," The Times reported. "Rather, it would act as a consultant, helping a government draft an infrastructure investment or poverty reduction plan, for instance."
Dadush said that while such assistance would be desirable in theory, countries will not likely be receptive. Nations such as Greece already receive a multitude of advice from institutions such as the European Central Bank and would not welcome the Bank getting involved.
"I think the thought that there would be another advisor would probably horrify them, to be honest, and politically the situation is already very complex," he said.
Carey said that it was ambitious for Kim, who is not an economic policymaker, to put forth such an offer on his first day in office.
Kim's departure from the College to such a prestigious position has helped to increase Dartmouth's visibility to the outside world, Carey said.
"When we're here in Dartmouth and Hanover, you get the sense that's the whole world, and I would encourage the '16s to think about that," Carey said. "How he does will reflect on Dartmouth he's essentially a pretty visible alumnus, so I guess everybody's got a stake in how he does."
