Robert Zoellick has been welcomed as new World Bank President with his supporters hoping he can draw a line under the Wolfowitz crisis, reports The Times.
“Mr Zoellick is certainly the right man for the job,” Bernard Kouchner, the French Foreign Minister told The Times, while he described Wolfowitz’s two years in charge as a “dark chapter”.
The Times says the reaction of European leaders to the new President is far more favourable than for Wolfowitz’s appointment in 2005 as his background was thought to be in poverty reduction rather than war.
Zoellick is also thought to more realistic than Wolfowitz about the political cultures of the countries the World Bank seeks to help.
The Guardian reports house prices are still rising by more than 10% year-on-year, according to Nationwide figures.
However, the building society also said there is evidence the underlying trend is slowing with prices rising by 0.5% on a monthly basis, down from the 0.9% rise in April.
Nationwide reported the average house now costs £181,584, according to Nationwide, which is a rise of nearly £17,000, or 10.3%, compared with May 2006.
Interest rates could be raised to 5.75pc as soon as next week, economists warned, after the most dovish member of the Bank of England's Monetary Policy Committee said inflation was likely to remain high for some time.
The Daily Telegraph reports a speech by the MPC’s David Blanchflower, who until last month was a proponent of lower borrowing costs, during which he said it still looked as if risks to inflation were on the upside.
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Two global vehicles
'Further plug advice gap'
Must appoint separate CEOs and boards
Advisers do come out well
Will report to Mark Till