Talks On Gold And Exports

Press, Volume CVIII, Issue 31802, 5 October 1968, Page 13

Talks On Gold And Exports

(N.Z P.A.-Reuter— Copyright)

wash: Central bankers i from 111 countries see faster efforts to help 1 poorer nations.

At the final session of the week-long joint World Bank and International Monetary Fund annual meetings they may also reach agreement in principle on gold sales. The I.M.F. and World Bank governors will be called on to approve a resolution directing their staffs to present by early next year recommendations on how to stabilise prices of primary products. This is of vital concern to poorer members of the two bodies. Their representatives have complained that their economic development was also being hampered by harsh aid terms and risingi protectionist sentiment among richer countries. On the gold issue, leading United States and European central bankers were expected to approach South Africa with a compromise proposal on her sales of the precious metal. Last March, central bankers set up a two-market gold system under which they traded the metal among themselves at the official price of $35 an ounce and were not supposed to add to their gold stocks by buying on the private market. The United States has urged South Africa to sell its gold on the free market to hold down the price. South Africa has insisted on its right to sell wherever it could, including the I.M.F. and the central banks.

Yesterday key central bankers met with United States Treasury representatives and decided to approach jjputh Africa with a com-

INGTON, October 4. and finance ministers ■med ready to approve the export earnings of

promise proposal under which some of its gold could be sold to the I.M.F. at a guaranteed price of $35 an ounce.