Hopes played down of IMF leader decision by the weekend

The EU's Irish presidency played down hopes of a decision on a new IMF leader at informal talks this weekend among EU finance ministers.

A diplomat commented that there are to be discussions, but declined to say whether or not it was to decide on a European candidate.

In the unlikely setting of the Punchestown racetrack outside Dublin, EU finance ministers will hold two days of talks from Friday in the hope of deciding who will succeed Germany's Horst Koehler at the International Monetary Fund.

Since the founding of the IMF and the World Bank in 1944, the managing director of the IMF has customarily been European, and the president of the World Bank an American.

So far only one European candidate has formally presented himself for the post of IMF managing director - Spain's outgoing Economy Minister Rodrigo Rato.

The Italian government has said it has an "exceptional", but not yet unidentified, figure in mind.

The French head of the European Bank for Reconstruction and Development, Jean Lemierre, is widely seen as the frontrunner should he stand.

Koehler announced his resignation as the IMF chief on March 4 to run for president in Germany.