The IMF is therefore already working closely with its member governments on ways to strengthen economic policies. The overarching goal is to create a system that is stable, sound, open and transparent. This will be no simple task, but one which for the IMF is of the essence. Consideration of reform proposals will receive added impetus in meetings to be held in Washington over the next two weeks. I believe that the following matters should receive priority.
Transparency is the first order of business.
Countries and international institutions, including the IMF, should be more open in communications to the public and to markets. At the national level, financial systems have to be strengthened through widespread adoption of best practices for regulating and supervising banking systems, securities markets and other financial institutions. Financial infrastructure in most countries needs further strengthening through adoption of more uniform and prudent standards for auditing, accounting, disclosure, bankruptcy procedures and payments systems. The IMF is collaborating with other international bodies in developing such standards and best practices and assisting countries with technical expertise in implementing them. Orderly capital account liberalization should also remain on the reform agenda.