ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(78)321
Vol.1978/0120

Disclaimer
Conformément aurèglement(CEE,Euratom)n°354/83duConseildu1erfévrier1983
concernantl'ouvertureaupublicdesarchiveshistoriquesdelaCommunauté économique
européenneetdelaCommunautéeuropéennedel'énergieatomique(JOL43du15.2.1983,
p.1),telquemodifiéparlerèglement(CE,Euratom)n°1700/2003du22septembre2003
(JOL243du27.9.2003,p.1),cedossierestouvertaupublic.Lecaséchéant,lesdocuments
classifiésprésentsdanscedossierontétédéclassifiésconformément àl'article5dudit
règlement.
InaccordancewithCouncilRegulation(EEC,Euratom)No354/83of1February1983
concerningtheopeningtothepublicofthehistoricalarchivesoftheEuropeanEconomic
CommunityandtheEuropeanAtomicEnergyCommunity(OJL43,15.2.1983,p.1),as
amendedbyRegulation(EC,Euratom)No1700/2003of22September2003(OJL243,
27.9.2003,p.1),thisfileisopentothepublic.Wherenecessary,classifieddocumentsinthis
filehavebeendeclassified inconformitywithArticle5oftheaforementioned regulation.
InÜbereinstimmung mitderVerordnung(EWG,Euratom)Nr.354/83desRatesvom1.
Februar1983überdieFreigabederhistorischen ArchivederEuropäischen
Wirtschaftsgemeinschaft undderEuropäischen Atomgemeinschaft (ABI.L43vom15.2.1983,
S.1),geändertdurchdieVerordnung(EG,Euratom)Nr.1700/2003vom22.September2003
(ABI.L243vom27.9.2003,S.1),istdieseDateiderÖffentlichkeitzugänglich.Soweit
erforderlich,wurdendieVerschlusssachen indieserDateiinÜbereinstimmung mitArtikel5
dergenanntenVerordnungfreigegeben.

COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(78)321final.
Brussels,11July1978
Recommendation fora
COUNCILDECISION "
concludingtheAgreementintheformofanExchangeofLetters
betweentheEuropeanEconomicCommunityandtheBankfor
International Settlements concerningthemobilization of
claimsheldbyMemberStatesunderthemedium-term
financialassistancearrangements
(submittedtotheCouncilbytheCommission)
»
COM(78)321final.

RECOMMENDATION
ForaCouncilDecisionconcluding theAgreementintheformofanExchange
ofLettersbetweentheEuropeanEconomicCommunity andtheBankforInterna­
tionalSettlements concerning themobilization ofclaimsheldbyMember
Statesunderthemedium-term financialassistance arrangements .
THECOUNCILOFTHEEUROPEAN COMMUNITIES ,
HavingregardtotheTreatyestablishing theEuropeanEconomicCommunity/
HavingregardtoCouncilDecision71/143/EECof22March1971settingup
(1)machineryformedium-term financialassistance ,aslastamendedby
(?) -Decision78/49/EEC,andinparticularArticles 1and4thereof,
HavingregardtotheRecommendation fromtheCommission,
HavingregardtotheOpinionoftheMonetaryCommitteeof28February1978,
WhereasDecision78/49/EECmadeprovision,incaseswhereoneormoreMember
Stateswhicharecreditorsunderthemedium-term financialassistance system
experiencedifficulties orareseriouslythreatened withdifficulties as
regardstheirbalanceofpayments,forthemobilization oftheclaimsheldby
suchstates;whereasitprovidedthatonewayofmobilizing theclaimsshould
-bebyrefinancing fromoutsidethesystem,eitherbyconcertedactionbyMembe
Stateswithotherinternational organizations ,orbyanagreement madewith
suchorganizations ; •
WhereastheBankforInternational Settlements istheorganization ableto
providesuchrefinancing,
HASDECIDED ASFOLLOWS :
(1)OJNoL73,27.3.1971,p.15
(2)OJNoL14,18.1.1978,p.14

Article 1
1.TheAgreementintheformofanExchangeofLettersbetweenthe
EuropeanEconomicCommunity andtheBankforInternational Settlements
concerning themobilisation ofclaimsheldbyMemberStatesunderthe
machineryformedium-term financialassistanceisherebyapprovedon
behalfoftheCommunity.
2.ThetextoftheExchangeofLettersisannexedtothisDecision.
Article 2
ThePresidentoftheCouncilisherebyauthorizedtodesignatetheperson
empoweredtosigntheAgreementintheformofanExchangeofLettersin
ordertobindtheCommunity.
,DoneatBrussels.
For
ThetheCouncil
Président

A.LetterfromtheCommunity
^ir'",. .:
1havethehonourtoacknowledge receiptofyourtetteroftoday'sdate,
whichreadsasfollows:
"TheBIScouldconcludestand-bycreditagreements withthecreditorcountries'
centralbanksiftheyshouldsorequest.
Theseagreements couldbeconcluded uptothetotalamountofthecontribution
paidintothemechanism bythecreditorcountry,withanoveralllimitof
2725millionunitsof'account,corresponding tohalfofthetotaloffuture
commitmentceilingsofthemembercountries..'
Thepractical–details ofeachstand-byagreementwouldbedetermined byagree­
mentbetweentheBISandthecentralbankinquestion.However,certaincon­
ditions,whichtheBISwouldbepreparedtoapply,canbeindicatedalready:
TheinitialcommitmentoftheBISforeachstand-bycreditwouldbefortwo'
yearswiththeoptionofrenewalforotherperiods,thetotalnot.toexceed -
fiveyears. _■
Ontheopeningofcredits,andwhenevertheyarerenewed,theBISwouldtakea
commission .Itwouldalsobeunderstood that,inordertoallow.ittocarry
outthenecessaryadjustments toitsownliquidity,thefirstdrawingswould
nottakeplaceuntilonemonthaftertheconclusionofthestand-byagreement.
Drawingswouldbein-thecurrencies availabletotheBISatthetimetheywere
made,mostprobably .inUSdollars;theywouldbeforperiodstobe.negotiated
inthelightofJ:heBank'sresources,probablythreeorsixmonths.Thecon­
ditionswouldbeequivalenttothoseappliedbytheBISatthetimefortrans^
actionsconcluded onsimilarterms,i.e.atclosetomarketrates.Normally,
theseratesshouldbeonlyslightlyaboveLibor.However,iftheBISshould
itselfhavetohaverecoursetothemarkettoprocurethenecessaryfunds,the
rateappliedcouldreachamaximumequivalenttoLiborplusanappropriate .
margin. / •_
IwouldbegratefulifyoucouldinformmewhethertheCounciloftheEuropean
Communities isinagreementwiththeabove."
IampleasedtoinformyouthattheCounciloftheEuropeanCommunities isin
agreementwiththecontentsofyourletter. ,
Pleaseaccept,Sir,theassuranceofmyhighestconsideration .
FortheCounciloftheEuropeanCommunit
Mr.ReneLARRE
DirectorGeneralofthe
BankforInternational Settlements
Centralbahnplatz 2
CH-4002BALE

B.LetterfromtheBankforInternational Settlements
YourExcellency,
TheBIScouldconcludestand-bycreditagreements withthecreditorcountries'
centralbanksiftheyshouldsorequest.-
Theseagreements couldbeconcluded uptothetotalamountofthecontribution
paidintothemechanism bythecreditorcountry,withanoveralllimitof
2725millionunitsofaccount,corresponding tohalfofthetotaloffuture
commitment ceilingsofthemembercountries.
Thepracticaldetailsofeachstand-byagreementwouldbedetermined byagree­
mentbetweentheBISandthecentralbankinquestion.However,certaincon­
ditions,whichtheBISwouldbepreparedtoapply,canbeindicatedalready:
TheinitialcommitmentoftheBISforeachstand-bycreditwouldbefortwo
yearswiththeoptionofrenewalforotherperiods,thetotalnottoexceed
fiveyears.
Ontheopeningofcredits,andwhenevertheyarerenewed,theBISwouldtakea
commission ..Itwouldalsobeunderstoodthat,inordertoallowittocarry
outthenecessaryadjustments toitsownliquidity,thefirstdrawingswould
nottakeplaceuntilonemonthaftertheconclusion ofthesta.nd-byagreement.
Drawingswouldbeinthecurrencies availabletotheBISatthetimetheywere
made,mostprobablyinUSdollars;theywouldbeforperiodstobenegotiated
inthelightoftheBank'sresources,probablythreeorsixmonths.Thecon­
ditionswouldbeequivalent tothoseappliedby.theBISatthetimefortrans­
actionsconcluded onsimilarterms,i.e.atclosetomarketrates.Normally,
theseratesshouldbeonlyslightlyaboveLibor.However,iftheBISshould
itselfhavetohaverecoursetothemarkettoprocurethenecessaryfunds,the
rateappliedcouldreachamaximumequivalenttoLiborplusanappropriate
margin. 1 .
IshouldbeobligedifyouwouldinformmewhethertheCounciloftheEuropean
Communities isinagreement'withtheabove.
Pleaseaccept.YourExcellency>theassuranceofmyhighestconsideration .
FortheBankforInternational Settlements
Mr.K.B.ANDERSEN _
President oftheCouncil
oftheEuropeanCommunities
rue>delaLoi,170
BRUSSELS '