Smithsonian Agreement Diciptakan Untuk
The inability of world governments to establish a system in which exchange rates of currencies would be fixed and stable has left no alternative but to have a floating currency market. That is the phase we are going through today. The Forex market, as we know today, is the result of the failure of Bretton Woods and the Smithsonian agreement. Reactions to U.S. actions expressed by executive directors on August 16 illustrated the initial reactions of most monetary authorities. There was indeed an atmosphere of crisis. Many executive directors have pressed Mr. Dale for the intentions of the U.S. authorities, particularly with respect to the exchange rate situation, which would occur immediately, and the import surcharge. Some felt that there was an urgent need to negotiate new values in the coming days. When the Executive Directors took up a draft decision that contained the Fund`s response to the U.S. communication, Dale said that U.S. authorities believed that U.S.
measures were essential to create the dynamism of industrialized countries in the form of exchange rate and negotiation measures, which are essential to correct the imbalance in global payments. They therefore preferred that the Fund not make a decision at this stage. Mr. Viénot objected and was surprised that the Fund had only “taken notice” in the draft decision of the actions taken by the United States; He preferred that the Fund express its opposition to the US action, which he said was “a clear deviance from the statutes”. With regard to the procedure, Mr Schweitzer considered that the agreement of the major industrialized countries was the first essential step. He was convinced that finance ministers and central bank governors from the Group of Ten countries should not wait for their meeting scheduled for September 26 in Washington, D.C., the Sunday before the opening of the Annual Meeting of the Fund`s Board of Governors. He felt that it would be too late if the Fund could take appropriate action through the governors of all Member States.