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International Bank for Reconstruction and Development Summary Proceedings Ninth Annual Meeting of the Board of Governors

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International Bank for Reconstruction and Development Summary Proceedings Ninth Annual Meeting of the Board of Governors • INTERNATIONAL BANK FOR Public Disclosure Authorized RECONSTRUCTION AND DEVELOPMENT SUMMARY Public Disclosure Authorized PROCEEDINGS NINTH ANNUAL MEETING OF THE BOARD OF GOVERNORS Public Disclosure Authorized WASHINGTON, D. C. SEPTEMBER 24-29, 1954 ~ Public Disclosure Authorized ~~ ~ ~ ~~~ " ~·INTERNATIONAL~IJ {I ~-=*BANK ~~ OCTOBER 15, 1954 ~~/)tvELOt»~~ INTRODUCTORY NOTE The Ninth Annual Meeting of the Board of Governors of the International Bank for Reconstruction and Development was held in Washington, D. C., from September 24 to September 29, 1954 under the chairmanship of J. van de Kieft, Minister of Finance of the Netherlands. These Summary Proceedings cover generally the work of the Board in committee meetings and in five plenary sessions, two of which were held jointly with the Board of Governors of the Inter­ national Monetary Fund. One informal session, in addition, was devoted to a panel discus­ sion on the subject of prospects for private international investment. M. IVL MENDELS Secretary INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Washington, D. C. October 15, 1954 NINTH ANNUAL MEETING FINAL SCHEDULE THURSDAY -September 23- 3 :30 p.m.-Joint Procedures Committee FRIDAY -September 24-10 :00 a.m.-Opening Ceremonies First Se~sion (Joint) Report of Procedures Committee -11 :30 a.m.-Fund Board-Annual Report: Address by Managing Director of Fund SATURDAY -September 25-10 :00 a.m.-Bank Board-Annual Report: Address by President of Bank -10 :45 a.m.-Bank Committee on Finance and Organization -11 :30 a.m.-Discussion on Fund Annual Report - 3 :00 p.m.-Fund Committee on Finance and Organization MONDAY -September 27-10 :00 a.m.-Discussion on Bank Annual Report - 3 :30 p.m.-Discussion on Fund Annual Report TUESDAY -September 28-10 :00 a.m.-Bank Informal Discussion -12 :00 noon-Fund Board Managing Director's Concluding Comments Committee Reports - 3 :00 p.m.-Fund Board Committee Reports (Continued) Election of Executive Directors - 5:00 p.m.-Bank Board President's Concluding Comments Committee Reports Election of Executive Directors WEDNESDAY -September 29-12 :00 noon-Joint Procedures Committee - 3 :30 p.m.-Closing Session (Joint) ii ----- ._-._- ------ CONTENTS Page Message from Dwight D. Eisenhower, President of the United States, to the Boards of Governors of the Bank and Fund, at the Joint Opening Ceremonies, September 24, 1954 1 Address by the Chairman, J. van de Kieft, Netherlands Minister of Finance, to the Boards of Governors, at the Joint Opening Session, September 24, 1954________________________ 2 Address by Eugene R. Black, President of the Bank, in Presenting the Ninth Annual Report to the Board of Governors, September 25, 1954______________________________________________________ 6 Address by the Chairman at the Joint Closing Session, September 29, 1954______________________ 12 Committee Reports: Joint Procedures Committee Report N o. L__________________________________________________________________ 14 Annex IVl -Agenda____________________________________________________ _____ _______________ _______________________ 16 Annex V -Committee on Finance and Organization________________________________________ 16 Annex VI -Committee on Finance and Organization-Terms of Reference____ 17 Annex VII -Informal Panel Discussion-"Prospects for Private International In ves tment" ______________________________ ____________ _____ __________________________________________ 17 Annex VIII -Provisional Schedule __________ ________________________________________________________________ 18 Annex IX -Provisions Relating to the Conduct of the Meeting________________________ 19 Joint Procedures Committee Report N o. 2_____________________________________________________________________ 20 Report of Committee on Finance and Organization ____________________________________________________ 21 Report on Marketing Activities of the Bank____________________________________________________________________ 23 Resolution adopted by the Board of Governors between Eighth and Ninth Annual Meetings: No. 85-Terms and Conditions on Which Israel shall be Admitted to Membership in the Bank__________________________________________________________________________________________________________________ 26 1 Annexes I-III related to business of the Fund. iii CONTENTS ( Continued) Page Resolutions adopted by the Board of Governors at Ninth Annual Meeting: No. 86-Fifth Regular Election of Executive Directors______________________________________________ 28 No. 87 -Financial Statements and BudgeL_____________________________________________________________________ 28 No. 88-Terms and Conditions on which the Republic of Korea shall be Admitted to Membershi p in the Bank____________________________________________________________________________________ 28 No. 89-Terms and Conditions on which Afghanistan shall be Admitted to Member- ship in the Bank__________________________________________________ . __________________________ 30 No.90-Place and Date of Tenth Annual Meeting____________________________________________________ 32 No. 91-0fficers of Beard of Governors for 1954-55________________________________________________________ 32 No. 92-Composition of Procedures Committee for 1954-55___________________________________________ 32 Rules for the Conduct of the Fifth Regular Election of Executive Directors______________________ 33 Executive Directors Elected at Fifth Regular Election_____________________________________________________ 37 Summary S tatements at Panel Discussi on_________________________________________________________________________ 39 Accredited Members of Delegations at Ninth Annual Meeting_________________________________________ 56 Observers at Ninth Annual Meeting_______________________________________________________________________ 61 Officers of Board of Governors and Procedures Committee for 1954-55______________________________ 63 iv MESSAGE FROM DWIGHT D. EISENHOWER, PRESIDENT OF THE UNITED STATES, TO THE BOARDS OF GOVERNORS OF THE BANK AND FUND, AT THE JOINT OPENING CEREMONIES, SEPTEMBER 24. 1954 To the Chairman and Governors of the International Bank for Reconstruction and Development and the International Monetary Fund: I am delighted to send greetings to the Boards of Governors of the International Bank for Reconstruction and Development and the International Monetary Fund at their Ninth Annual Meeting in Washington. The International Bank and the International Monetary Fund during the past year have again demonstrated that they are active and effective instruments in promoting international cooperation to­ ward the well-being of the free world. The United States heartily approves the Fund's efforts to free the world from restrictions on the flow of trade and money and to foster sound monetary policies and currency convertibility. The Bank has notably aided the member countries in their economic development and has helped promote conditions under which greater flow of private investments can take place. The Fund and the Bank have our best wishes for success and the assurance of our support. I anticipate with confidence a successful year for both institutions. [ 1 ] ADDRESS BY THE CHAIRMAN, J. VAN DE KIEFT, NETHERLANDS MINISTER OF FINANCE, TO THE BOARDS OF GOVERNORS, AT THE JOINT OPENING SESSION, SEPTEMBER 24, 1954 It is a great privilege for me to preside of the Bretton Woods twins: Camille Gutt, at this Ninth Annual Meeting of the Boards who as Managing Director, led the Fund of Governors of the International Monetary during the first six years of its existence, and Fund and the International Bank for Recon­ Eugene Meyer and John McCloy, the first two struction and Development. Especially so, presidents of the Bank. Their tasks were as this meeting gives us the opportunity of particularly difficult, but aided by an able commemorating the day on which, ten years and devoted staff they succeeded in estab­ ago, the representatives of forty-four na­ lishing our two institutions as going tions, still involved in a most tragic war, concerns. came together at Bretton Woods and created In comparing the achievements of Bank our two institutions, both dedicated to the and Fund, it has become commonplace to works of peace and to the closest cooperation stress the early achievements of the Inter­ between nations in the field of international national Bank and thereby, indirectly, to finance. underestimate the accomplishments of the It is a happy coincidence that this meet­ International Monetary Fund. I think that ing should take place in the same country those, who feel inclined to compare our two that acted as a host to the founding fathers. institutions in this way, are apt to forget that I wish to express our appreciation for the by their Articles of Agreement Bank and hospitality the Government of the United Fund were given very different tasks to per­ States of America is again extending to us form and that only the Bank was fortunate all. enough to be assigned a very active role in I also wish, in my own name and on the reconstruction period that was to follow behalf of my colleague Dr. Holtrop, to wel­ the devastation caused by the world war. come my fellow governors, alternate gover­ As both its name and the first of its nors, advisors, representatives of other Articles of Agreement indicate, the Interna­ international organizations and guests, who tional Bank had the purpose to help in the have come to participate in this conference. restoration of economies, destroyed or dis­ In particular I want to extend
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