World Bank President Robert Zoellick to step down

World Bank President Robert Zoellick has announced his decision to step down at the end of his five-year-term in June, giving rise to speculations that US Secretary of State Hillary Clinton may be headed to replace him, which was immediately denied by her aide.

In a statement on Wednesday, World Bank said its President Robert B Zoellick has announced that he would step down at the end of a five-year term in which a transformed Bank played an historic role during the global economic crisis, using record replenishments to provide more than $247 billion to help developing countries boost growth and overcome poverty.

"The Bank is now strong, healthy and well positioned for new challenges, and so it is a natural time for me to move on and support new leadership," Zoellick said in a statement.

Zoellick informed the Bank's Board on Wednesday morning of his decision.

He said through June 30 he will stay 100 per cent focused on being the Bank's president and will continue to drive policy and programmes at a heightened tempo.

Soon after the announcement, US media reported that possible candidates include Secretary of State Hillary Clinton and former economic advisor to the US President Larry Summers, who is now a professor at the Harvard University.

"I really don't have any information for you on potential successors at the World Bank," the White House Press Secretary, Jay Carney, said.

"The Secretary has addressed this issue many times since last year. She has said this is not happening. Her view has not changed," the State Department spokesperson, Victoria Nuland, told reporters at her daily news conference.

But these two denials did not prevent US media to report on her possible venture at the World Bank.

"Clinton long has been mentioned as a possible successor to Zoellick, and a news report last spring said she had engaged in discussions with White House officials about taking the high-profile post as a career-capping assignment," The Los Angeles Times reported.

"The reports seemed credible given Clinton's strong interest in international development. But the former First Lady and US senator flatly denied any interest, saying she looked forward to getting out of the fast lane," it said.

The US Treasury Secretary Timothy Geithner in a statement said that in the coming weeks the United States plans to put forward a candidate with the experience and requisite qualities to take this institution forward.

"Under Bob's leadership, the Bank has become a more effective, accountable, and transparent institution," he said.

In a statement, Christine Lagarde, Managing Director of the International Monetary Fund (IMF), said Zoellick has served the international community, including the membership of the World Bank Group and IMF, with great distinction.

"Bob will be leaving the Bank with a record of achievement of which he can be very proud. It has been a pleasure working with him both in my capacity as Managing Director and as a finance minister," she said.