IMF chief calls for EU ‘rainy day’ fund

INTERNATIONAL Monetary Fund head Christine Lagarde has called for the eurozone to establish a bailout fund amid rumours she is seeking the bloc’s most senior job.

She yesterday said that member states should set cash aside when times are good to help struggling nations if the economy goes sour.

Lagarde, 62, is widely thought to want to succeed Jean-Claude Juncker as president of the European Commission, and her speech was seen as an effort to enlist support from French president Emmanuel Macron.

France is a major supporter of deeper economic ties between eurozone nations, but others, such as Germany, are suspicious because they fear their taxpayers will ultimately pay for excessive spending in other countries.

Lagarde, however, added that countries more likely to need help in a crisis would have to set aside more cash during good times.