How is the IMF managing director chosen?

DSK is down and everyone has a thought on who the next managing director should be or how the process should work.

"Europe" is demanding that the new appointment be a European.

Since the founding of the IMF and World Bank, a "gentleman's agreement" has been in place that the head of the Bank will be an American and the head of the Fund a European.

The managing director is chosen by the executive board, i.e. the 24 executive directors of the Fund. Here is a link to who they are and who they represent along with the weight that is attached to each of their votes.

Here are the official rules for choosing the managing director:

"The IMF’s Managing Director is both Chairperson of the IMF’s Executive Board and Head of IMF staff. The Managing Director is assisted by a First Deputy Managing Director and two Deputy Managing Directors. He or she is appointed by the Executive Board for a renewable term of five years. Although the Executive Board may select a Managing Director by a majority of votes cast, the Board has in the past made such appointments by consensus."

It doesn't say whether the vote, if one would ever be taken, would be simple majority or weighted majority.

In sum, there is no formal nomination process, no hearings, no debates, just the consensus of the managing directors.

No wonder there is such a rabid free for all going on over the succession.