Lagarde was speaking after receiving the Transatlantic Business Award from the American Chamber of Commerce to the EU yesterday (18 June), and delivered a speech aimed at reassuring business circles, who tend to fear France's 'dirigiste' approach to the economy.
Lagarde forged her career with top US law firm Baker & McKenzie, and served as her country’s trade minister before being promoted by French President Nicolas Sarkozy to her current government position.
Her speech was hotly anticipated due to rumours about her being pushed by President Sarkozy as a potential candidate for the post of EU competition commissioner.
But Northern European countries, and particularly Germany, which traditionally support strong competition authorities, fear that her selection would imply a mandate of softening competition policy compared with industrial policy.
Admittedly, she is not the only French name being mentioned for the EU executive job. Current Agriculture Minister Michel Barnier is also said to be under consideration, and before the EU elections, rumours were even circulating in Paris that Prime Minister François Fillon could potentially become Commission president.
Presenting the award, AmCham EU chair John Vassalo described Lagarde as 'a Friend of America', recalling that she is the first female finance minister of a G8 country.
Lagarde impressed the room with her stunning English, but disappointed some observers by not alluding to EU market principles or competition policy.
Instead, she focused her speech on fighting two prejudices: that the EU and the US were at odds, and that US global influence is declining.
She backed up her first point with historical references to 18 June 1940, when Charles de Gaulle in a BBC address called on the French people to stand up to the German invaders, and 6 June 1944, when allied troops landed in Normandy: an event recently commemorated by US President Barack Obama on the same beaches.
Furthermore, Lagarde said that while there are deep bonds between Europe and the United States, changes in Washington mean that new relationships must be established, like a new marriage.
"Sarkozy and Obama want to change the course of things," said the French minister.
The minister recommended waiting until September to assess whether new initiatives by the US and Europe had actually delivered.
