Wolfowitz

WASHINGTON (Reuters):

Pressure for World Bank President Paul Wolfowitz to resign intensified yesterday as the bank's board wrangled over whether his approval of a high-paying promotion for his girlfriend bent staff rules.

The controversy over the promotion overshadowed the start of meetings in Washington of finance and aid ministers from rich and developing countries.

World Bank staff and global development organisations called for Wolfowitz to step down as anger increased after his public apology and acknowledgment on Thursday that he erred in the handling of the promotion of Shaha Riza, a former senior com-munications officer in the bank's Middle East Department.

Stay or go

Bank staff have expressed their outrage on internal Internet bulletin boards, which included calls for Wolfowitz to resign. The outpouring showed lingering distrust by many staff and resentment over his close ties to the Bush administration and his role as an architect of the Iraq war while he was U.S. deputy defence secretary.

The case has been an em-barrassment to Wolfowitz, who has campaigned for sound governance and against corruption since taking up the post in 2005.

Finance ministers in Washington for the meetings refused to pre-judge Wolfowitz's actions or say whether he should stay or go, saying it was a matter for the World Bank's board.

"We must just allow the process to work through," South African Finance Minister Trevor Manuel told Reuters.

The White House, which nominated Wolfowitz for the job despite objections by some member countries, said it expected he would remain as bank president.

The World Bank's board, made up of representatives of the bank's 185 member countries, failed to reach a final decision on the issue overnight as it focused on the question of whether Wolfowitz, 63, gave preferential treatment to Riza.

Riza was assigned outside the bank to work with the U.S. State Department, but remained on the bank's payroll after Wolfowitz took office.