The post-G7 environment

The June 1996 G7 Finance Ministers’ Report emphasised that the most important foundation for exchange rate stability was the maintenance of sound macroeconomic policies aimed at achieving sustained non-inflationary growth, avoiding the emergence of large external or internal imbalances. Moreover, it stressed that flexibility in major currencies’ exchange rates is a basic feature of the system. This point was made even clearer in the statements made following meetings in April 1997 and April 1998

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