The Ministers of Finance and Central Bank Governors of France, Germany, Japan, the United Kingdom, and the United States announced today that they had met to discuss a range of international economic and financial issues. The meeting, part of a regular series of consultations among these countries on economic and financial matters of mutual interest also involved IMF Managing Director de Larosiere for a discussion of the economic policies and prospects of the major industrial countries.

The Ministers and Governors, noting the recent developments in the exchange markets, expressed their commitment to work toward greater exchange market stability. Toward this end, the Ministers and Governors:

• Reaffirmed their commitment to pursue monetary and fiscal policies that promote a convergence of economic performance at non-inflationary, steady growth.
  

• Stressed the importance of removing structural rigidities in their economies to achieving the objectives of non-inflationary steady growth and exchange market stability, and expressed their intent to intensify efforts in this area; and
  

• In light of recent developments in foreign exchange markets, reaffimned their commitment made at the Williamsburg Summit to undertake coordinated intervention in the markets as necesssary.
  

The Ministers and Governors believe that this approach will provide a solid framework for sustaining recovery, reducing inflation, increasing employment, and achieving greater exchange rate stability.

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Source: Funabashi, Yoichi. Managing the Dollar: From the Plaza to the LouvreWashington, D. C.: Institute for International Economics, 1988. Institute for International Economics. Reproduced by permission of the Institute for International Economics.