Annual Report 2004-2005 Thirty Group of

Group of Thirty, Washington, DC Annual Report 2004-2005

Published by Group of Thirty© Washington, DC 2006

Table of Contents

I.I . Introduction ...... 5

II. Group of Thirty Membership ...... 7

III. The Work of the Group of Thirty...... 15 Plenary Sessions International Banking Seminars Studies and Study Groups Publications

IV. The Finances of The Group ...... 19

Annex 1. Past Membership of the Group of Thirty ...... 33

Annex 2. Schedules of Meetings and Seminars ...... 35

Annex 3. International Banking Seminars ...... 37

Annex 4. Study Group on Financial Accounting...... 39

Annex 5. Global Clearance and Settlements Monitoring Committee ...... 41

Annex 6. Study Group on Reinsurance in International Financial Markets ...... 47

Annex 7. Group of Thirty Publications Since 1990 ...... 49

Annex 8. Contributors to the Group of Thirty...... 53

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I. Introduction

This report covers the program and activities of the Group of Thirty during fiscal years 2004 and 2005. Changes in membership and the activities are described in Section 2 which includes a full membership list. In Section 3, an account is given of the Group’s work in those two years, including a description of the Group’s meetings and public events. Section 4 describes the financial position of the Group during the two fiscal years covered by the report and recognizes the financial supporters who made this work possible. All inquiries regarding this report, the activities of the Group, or its publications should be made to:

The Group of Thirty 1726 M Street, N.W., Suite 200 Washington, DC 20036 Tel: 202-331-2472 Fax: 202-785-9423 E-mail: [email protected] http://www.group30.org

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II. The Group of Thirty Membership

The Group of Thirty, established in 1978, is a private, nonprofit, international body composed of very senior representatives of the private and public sectors and academia. It aims to deepen understanding of international economic and financial issues, to explore the international repercussions of decisions taken in the public and private sectors, and to examine the choices available to market practitioners and to policymakers. A defining feature of the Group is that the senior individuals who form its membership also serve as its principal workforce. Whereas many organizations devoted to scholarly and public policy studies have senior boards that offer guidance and add gravitas to their work, the Group’s members themselves make the presentations at plenary meetings and seminars and serve actively on study groups. In fact, active involvement in the program is a condition of membership in the Group of Thirty. To ensure that the Group has access to the widest range of expertise and informed opinion, senior public officials and private executives are regularly invited to meetings and recruited to participate in the Group’s projects. The pro bono service of members and invitees is the Group’s principal resource. The work program is managed by a small staff based in Washington that provides policy guidance and administrative support for the meetings and projects that the membership decides to pursue.

7 Despite its small size however, the organization achieves global reach and has disproportionate impact. As the Financial Times put it in a 1996 report: “The Washington DC-based Group of Thirty is the slimmest of organizations, but punches well above its weight. Under a heavyweight board headed by the former Federal Reserve chairman, it has pitched in on some of the most ponderous issues facing international bankers and finance officials.”

8 Membership At year-end 2005, the membership of the Group was:

Paul A. Volcker Chairman of the Board of Trustees, Group of Thirty Former Chairman, Board of Governors of the Federal Reserve System Jacob A. Frenkel Chairman, Group of Thirty Vice Chairman, American International Group, Inc. Former Governor, Bank of Israel Abdulatif Al-Hamad Chairman, Arab Fund for Economic and Social Development Former Minister of Finance and Minister of Planning, Kuwait Leszek Balcerowicz President, National Bank of Poland Former Deputy Prime Minister and Minister of Finance, Poland Geoffrey L. Bell Executive Secretary, Group of Thirty President, Geoffrey Bell & Company, Inc. Jaime Caruana Governor, Bank of Spain Chairman, Basel Committee on Banking Supervision Domingo Cavallo Weatherhead Center for International Affairs, Harvard University Former Minister of the Economy, Argentina E. Gerald Corrigan Managing Director, Goldman Sachs & Co. Former President, Federal Reserve Bank of New York Andrew D. Crockett President, JP Morgan Chase International Former General Manager, Bank for International Settlements Guillermo de la Dehesa Director and Member of the Executive Committee, Grupo Santander Former Deputy Managing Director, Bank of Spain Former Secretary of State, Ministry of Economy and Finance, Spain Martin Feldstein President, National Bureau of Economic Research Former Chairman, Council of Economic Advisers Roger W. Ferguson, Jr. Vice Chairman, Board of Governors of the Federal Reserve System Chairman, Financial Stability Forum

9 Stanley Fischer Governor, Bank of Israel Former First Managing Director, International Monetary Fund Arminio Fraga Neto Partner, Gavea Investimentos Former Governor, Banco do Brasil Toyoo Gyohten President, Institute for International Monetary Affairs Former Chairman, Bank of Tokyo Former Vice Minister for International Affairs, Ministry of Finance, Japan Gerd Häusler Counsellor and Director, International Capital Markets Department, Interna- tional Monetary Fund Former Managing Director, Dresdner Bank Peter B. Kenen Senior Fellow in International Economics, Council on Foreign Relations Former Walker Professor of Economics & International Finance, Department of Economics, Princeton University Mervyn King Governor, Bank of England Paul Krugman Professor of Economics, Woodrow Wilson School, Princeton University Jacques de Larosière Conseiller, BNP Paribas Former President, European Bank for Reconstruction and Development Former Managing Director, International Monetary Fund Former Governor, Banque de France Guillermo Ortiz Martinez Governor, Banco de Mexico Former Secretary of Finance and Public Credit, Mexico Tommaso Padoa-Schioppa Professor, Instituto Affari Internazionali Former Member of the Executive Board, European Central Bank Former Chairman, CONSOB Former Deputy Director General, Banca d’Italia William R. Rhodes Senior Vice Chairman, Citigroup, Inc. Chairman, Citibank, NA Lawrence Summers President, Harvard University Former US Secretary of the Treasury Jean-Claude Trichet President, European Central Bank Former Governor, Banque de France David Walker Chairman, Morgan Stanley International Inc. Former Chairman, Securities and Investments Board, UK

10 Marina v N. Whitman Professor of Business Administration & Public Policy, University of Michigan Former Member, Council of Economic Advisors Zhou Xiaochuan Governor, People’s Bank of China Yutaka Yamaguchi Former Deputy Governor, Bank of Japan Ernesto Zedillo Ponce de León Director, Yale Center for the Study of Globalization Former President of Mexico

Emeritus Members Lord Richardson of Duntisbourne, KG Honorary Chairman, Group of Thirty Former Governor, Bank of England Richard A. Debs Advisory Director, Morgan Stanley & Co. Gerhard Fels Former Director, Institut der deutschen Wirtschaft Wilfried Guth Former Spokesmen of the Board of Managing Directors, Deutsche Bank AG John G. Heimann Senior Advisor, Financial Stability Institute Former US Comptroller of the Currency Erik Hoffmeyer Former Chairman, Danmarks Nationalbank William J. McDonough Chairman, Public Company Acctg Oversight Board Frmr President, Federal Reserve Bank of New York Shijuro Ogata Former Deputy Governor, Bank of Japan Sylvia Ostry Distinguished Research Fellow, Munk Centre for International Studies, Toronto Frmr Ambassador for Trade Negotiations, Canada Frmr Head, OECD Economics and Statistics Dept Ernest Stern Partner and Senior Adviser, The Rohatyn Group Former Managing Dir., J.P Morgan Chase Former Managing Director, World Bank

11 During the period of this report, Dr. Josef Ackerman, Spokesman of the Board of Managing Directors at Deutsche Bank AG left the group. Two members were moved to emeritus status: Rt. Hon. Lord Richardson of Duntisbourne, KG and Sylvia Ostry. The Group relies upon the experience of the emeritus members and values the growth of this category. A complete list of former members is included at Annex 1. The four new members that were invited to join throughout this period were Abdulatif Al-Hamad, Roger W. Ferguson, Zhou Xiaochuan and Ernesto Zedillo Ponce de León. The Group welcomes the experience and energy they bring to its work.

Structure At the end of 2005, the Officers of the Group were:

Mr. Paul A. Volcker, Chairman of the Trustees Dr. Jacob A Frenkel, Chairman Mr. Geoffrey L. Bell, Secretary Mr. John G. Walsh, Executive Director

In formal terms, The Group of Thirty is a committee of the legal entity, the Consultative Group on International Economic and Monetary Affairs, Incorporated. The Corporation is registered in the United States as a non-profit, tax-exempt organization under section 501 (c)(3) of the Internal Revenue code. Day-to-day decisions regarding the operations of the Group are taken by the Executive Director in consultation with the Officers, as appropriate. Decisions regarding leadership, membership and policy are taken by the Board of Trustees. Now under the leadership of Mr. Paul Volcker, the Trustees consist of the Chairman of the Trustees and the Officers of the Group. All important matters affecting the membership and policies of the Group are brought to the full membership for review at bi-annual plenary meetings of the Group.

The head office of the Group, the location of the Executive Director and support staff, is in Washington, DC.

12 13

III. The Work of the Group of Thirty in FY 2004 and 2005

Plenary Sessions The Group meets twice a year in plenary session. Most members attend each meeting, and the opportunity is also taken to invite a small number of distinguished guests to participate in the discussions. The Group’s FY 2004 and 2005 plenary meetings were generously hosted by the Federal Reserve Bank of New York (Fall 2004 and 2005), European Central Bank (Spring 2004) and the Bank of Poland (Spring 2005). The Group takes this opportunity to express its gratitude to these institutions. Certain subjects are a regular focus of the Group’s attention. There is usually a discussion of the international economic outlook over the next 12 to 24 months. Equally, the evolution of financial markets, particularly in times of uncertainty, exchange rate volatility, global clearing and settlements, corporate governance and financial reporting developments in emerging markets have received regular attention.

International Banking Seminars The Group’s International Banking Seminar, held at the time of the IMF and World Bank annual meetings, offers one of the most authoritative discussions of global economic and financial developments available anywhere. Each Seminar features presentations by the key decision makers and opinion leaders from both the G-7 and emerging market countries.

15 The FY2005 Seminar, held in September 2004, was hosted by Mr. Alan Greenspan, Chairman of the Board of Governors, at the Federal Reserve Board. The speakers at the session are listed in Annex 3. The Group of Thirty thanks them and acknowledges with gratitude the hospitality of our host.

Study Group Activities One of the principal projects completed during FY 2004 was a study commissioned to examine a range of issues relating to accounting policies and practices, especially the extent to which “fair value” accounting should be the generalized norm for the future accounting policy. The catalyst for this initiative was a spate of corporate scandals and major restatements of financial results apparently tied to failures in accounting policies and practices. To address the weaknesses that contributed to these problems, the agenda for study was expanded from accounting principles to include the elaboration of best practices for governance and financial reporting. The study was pursued by a Working Group of experts and a senior Steering Committee, both co- chaired by E. Gerald Corrigan, Managing Director of Goldman Sachs & Co., and Douglas Flint, Group Finance Director of HSBC Holdings Plc. The final report Enhancing Public Confidence in Financial Reporting, was published in December and was received very favorably in private and official circles and by the financial press. The complete list of Working Group and Steering Committee members is shown in Annex 4. In May 2003, Group formed a Global Monitoring Committee of senior representatives of the public and private sectors to promote implementation the recommendations in the report Global Clearing and Settlement: A Plan of Action. The committee, chaired by Andrew Crockett, President of JP Morgan Chase International, released an interim report in April 2005, which reviewed progress in achieving higher standards of technical performance, better business practice and stronger governance intended to produce an interoperable, safer and more efficient international system for securities clearing and settlement. The report noted that substantial progress on the reform agenda, although considerable work remained to be done. The final monitoring committee report is expected in spring 2006. A full list of the members is shown in Annex 5.

16 The second work in progress is a study commission to address the role of reinsurance in the international capital markets and examine a number of major issues which may arise as newer players enter the international markets on a substantial scale. The idea of this study began after the stability of the global reinsurance industry was challenged in the wake of the terrorist attack of September 11, 2001, falling stock markets in 2001 and 2002, and concerns about the robustness of the credit derivatives market. Thereafter, the Group of Thirty organized an informal discussion with reinsurance executives, financial stability experts, and G30 members about issues and challenges that might be addressed by a working group study The Study Group is chaired by Alastair Clark, Advisor to the Governor of the Bank of England, acting however in a personal capacity, and Walter Kielholz, Chairman of the Credit Suisse Group. The final report is expected in early 2006 and a complete list of the Study Group members is shown in Annex 6.

Publications During FY 2004 and 2005 the Group of Thirty published the Study Group Report – Sharing the Gains from Trade: Reviving the Doha Round. Four new volumes were also published in the Group’s Occasional Papers series: Number 67, American Capitalism and Global Convergence by Marina v. N. Whitman; Number 68, External Transparency in Trade Policy by Sylvia Ostry; Number 69, Is it Possible to Preserve the European Social Model? by Guillermo de la Dehesa Romero; and Number 70, The Critical Mission of the European Stability and Growth Pact by Jacques de Larosiere. A list of G30 publications since 1989 is shown in Annex 7.

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IV. The Finances of the Group

The Group is supported from private sources: banks, non-bank corporations, central banks, individuals and for specific projects - foundations. A list of contributors in cash and kind for FY 2004 and 2005 is shown in Annex 8. The Group of Thirty’s total net assets decreased by $6,400 during FY 2005 to $1,001,000 after an increase of $110,500 in FY 2004. Despite continued consolidation among G30 financial supporters annual giving levels have shown little variation. Thus, the Group’s net financial position in any given year has been largely determined by the number of papers and reports actually produced in that year. Despite the variability of project expenses, The Group has succeeded in maintaining its total asset goal of at least 1.3 times annual operating expenses. Since the Group has no endowment, its assets are maintained in relatively liquid form as a ready reserve to fund future project activities.

Support and Revenue Total Support and Revenue in FY 2005, was $513,000, a decrease of $124,000 from the $637,000 level in FY 2004. Contributions and pledges decreased from $582,000 to $469,000, while investment income increase to 11,000 in FY 2004 and held steady in 2005. Sale of publications also increase by nearly 45% in 2004 to $43,000 then fell by 25% in 2005 as the Group focused on continuing a number of large projects that would be completed in FY 2006.

19 Expenditure Expenses for FY 2005 decreased to $519,769 after a 13% decrease in FY 2004 to $526,880. The declining expenses stemmed smaller publishing and follow up efforts as the G30 continued to focus on research on a number of larger projects including an in-depth study of the reinsurance industry and the clearing and settlement monitoring committee reports, both of which will be published in FY 2006.

20 CONSULTATIVE GROUP ON INTERNATIONAL ECONOMIC AND MONETARY AFFAIRS, INC STATEMENTS OF FINANCIAL POSITION

JUNE 30, 2005 2004

ASSETS

CURRENT ASSETS Cash and Cash Equivalents $547,528 $527,373 Accounts Receivable 568 9,132 Accrued Interest Receivable 981 2,824 Unconditional Promises to Give 42,000 69,500 Inventory, at cost 7,700 11,357 Prepaid Expenses and other assets 7,408 7,667

TOTAL CURRENT ASSETS 606,185 627,853

CERTIFICATES OF DEPOSIT 398,000 388,195 FURNITURE AND EQUIPMENT, net of acumulated depreciation $41,264 and $38,936 respectively 5,478 7,806

TOTAL ASSETS 1,009,663 1,023,854

LIABILITIES AND NET ASSETS CURRENT LIABILITIES Accounts Payable and Accrued Expenses $8,444.00 $16,202

TOTAL CURRENT LIABILITIES 8,444 16202

NET ASSETS Unrestricted 1,001,219 1,007,652

TOTAL NET ASSETS 1,001,219 1,007,652

TOTAL LIABILITIES AND NET ASSETS $1,009,663 $1,023,854

21 CONSULTATIVE GROUP ON INTERNATIONAL ECONOMIC AND MONETARY AFFAIRS, INC STATEMENTS OF FINANCIAL POSITION

JUNE 30, 2004 2003

ASSETS

CURRENT ASSETS Cash and Cash Equivalents $527,373 $653,628 Accounts Receivable 9,132 2,549 Accrued Interest Receivable 2,824 462 Unconditional Promises to Give 69,500 122,000 Inventory, at cost 11,357 23,093 Prepaid Expenses and other assets 7,667 7,325

TOTAL CURRENT ASSETS 627,853 809,057

CERTIFICATES OF DEPOSIT 388,195 98,000

FURNITURE AND EQUIPMENT, net of acumulated depreciation of $38,936 and $37,126 respectively 7,806 5,295

TOTAL ASSETS 1,023,854 912,352

LIABILITIES AND NET ASSETS

CURRENT LIABILITIES Accounts Payable and Accrued Expenses $16,202 $15,209

TOTAL CURRENT LIABILITIES 16,202 15,209

NET ASSETS Unrestricted 1,007,652 897,143

TOTAL NET ASSETS 1,007,652 897,143

TOTAL LIABILITIES AND NET ASSETS $1,023,854 $912,352

22 CONSULTATIVE GROUP ON INTERNATIONAL ECONOMIC AND MONETARY AFFAIRS, INC STATEMENTS OF ACTIVITIES

FOR THE YEARS ENDED JUNE 30, 2005 2004

SUPPORT AND REVENUE Sales of Publications and Subscriptions $32,428 $43,182 Contributions 469,306 582,500 Investment Income 11,602 11,707

TOTAL SUPPORT AND REVENUE 513,336 637,389

EXPENSES

Program Services 319,357 361,047 Management and General 179,527 149,123 Fundraising 20,885 16,710

TOTAL EXPENSES 519,769 526,880

CHANGE IN NET ASSETS (6,433) 110,509

NET ASSETS, BEGINNING OF YEAR 1,007,652 897,143

NET ASSETS, END OF YEAR $1,001,219 $1,007,652

23 CONSULTATIVE GROUP ON INTERNATIONAL ECONOMIC AND MONETARY AFFAIRS, INC STATEMENTS OF ACTIVITIES

FOR THE YEARS ENDED JUNE 30, 2004 2003

SUPPORT AND REVENUE Sales of Publications and Subscriptions $43,182 $29,840 Contributions 582,500 483,000 Investment Income 11,707 9,365

TOTAL SUPPORT AND REVENUE 637,389 532,205

EXPENSES

Program Services 361,047 406,623 Management and General 149,123 182,704 Fundraising 16,710 16,235

TOTAL EXPENSES 526,880 605,562

CHANGE IN NET ASSETS 110,509 (73,357)

NET ASSETS, BEGINNING OF YEAR 897,143 970,500

NET ASSETS, END OF YEAR $1,007,652 $897,143

24 9,161 16,716 otal otal otal otal otal 38,363 T T T T T $519,769 Expenses Expenses Expenses Expenses Expenses 1,542 2,630 43,611 $20,885 AIRS, INC AIRS, INC AIRS, INC AIRS, INC AIRS, INC Fundraising Fundraising Fundraising Fundraising Fundraising Y AFF Y AFF Y AFF Y AFF Y AFF AR AR AR AR AR 188 188 5,144 5,144 1,502 2,022 2,565 2,565 6,184 3,472 3,472 2,330 2,330 2,3283,306 2,328 3,306 8,862 8,862 12,669 25,901 25,901 $179,527 Supporting Services Supporting Services Supporting Services Supporting Services Supporting Services and General and General and General and General and General Management Management Management Management Management otal otal otal otal otal 5,431 11,285 6,434 6,434 T T T T T 22,042 24 22,066 50,137 50,137 28,312 $319,357 (FOR THE YEAR ENDED JUNE 30, 2005) 7,132 23,570 13,251 16,778 Publications Publications Publications Publications Publications TIONAL ECONOMIC AND MONET TIONAL ECONOMIC AND MONET TIONAL ECONOMIC AND MONET TIONAL ECONOMIC AND MONET TIONAL ECONOMIC AND MONET 5,062 9,932 8,567 8,268 22,612 394 Program Services Program Services Program Services Program Services Program Services Projects Projects Projects Projects Projects 1,104 2,257 2,070 1,901 413 4,120 8,170 9,813 62,365 63,121 54,448 179,934 80,516 16,713 277,163 27,131 Seminars Seminars Seminars Seminars Seminars Services 520 520 Meetings and Meetings and Meetings and Meetings and Meetings and TIVE GROUP ON INTERNA TIVE GROUP ON INTERNA TIVE GROUP ON INTERNA TIVE GROUP ON INTERNA TIVE GROUP ON INTERNA A A A A A TEMENTS OF FUNCTIONAL EXPENSES TEMENTS OF FUNCTIONAL EXPENSES TEMENTS OF FUNCTIONAL EXPENSES TEMENTS OF FUNCTIONAL EXPENSES TEMENTS OF FUNCTIONAL EXPENSES T T T T T A A A A A ST ST ST ST ST CONSUL CONSUL CONSUL CONSUL CONSUL PrintingRepairs and Maintenance Salaries Supplies 202 Office Rent Postage and Delivery Consultants and Temporary Consultants and Temporary Depreciation Equipment Rentals File Storage and Retrieval Insurance Miscellaneous and Fringe Benefits Taxes Payroll 367 2,610 2,977 Communications Computer Service Conferences Accounting and Auditing Travel TOTAL $110,686 $112,032 $96,639

25 otal otal otal otal otal T T T T T 37,673 252,758 526,880 Expenses Expenses Expenses Expenses Expenses 13,598 $16,710 AIRS, INC AIRS, INC AIRS, INC AIRS, INC AIRS, INC Fundraising Fundraising Fundraising Fundraising Fundraising Y AFF Y AFF Y AFF Y AFF Y AFF AR AR AR AR AR 4,452 4,452 7,644 7,644 2,048 2,048 2,9731,810 29,063 1,810 5,3212,367 5,321 2,367 3,336 3,336 26,165 26,165 63,240 Supporting Services Supporting Services Supporting Services Supporting Services Supporting Services and General and General and General and General and General Management Management Management Management Management otal otal otal otal otal 8,706 4,341 13,047 T T T T T 7,830 7,830 57,424 57,424 23,457 9,687 1,085 34,229 $361,047 $149,123 (FOR THE YEAR ENDED JUNE 30, 2005) 1,863 60,745 175,920 26,090 26,090 $124,666 Publications Publications Publications Publications Publications TIONAL ECONOMIC AND MONET TIONAL ECONOMIC AND MONET TIONAL ECONOMIC AND MONET TIONAL ECONOMIC AND MONET TIONAL ECONOMIC AND MONET 9,221 9,054 26,220 9,426 2,027 4,592 525 8,253 8,098 13,14161,871 18,166 35,275 35,275 25,378 Program Services Program Services Program Services Program Services Program Services Projects Projects Projects Projects Projects 7,106 2,315 4,528 2,713 3,968 53,304 Seminars Seminars Seminars Seminars Seminars Services Meetings and Meetings and Meetings and Meetings and Meetings and Benefits 7,945 TIVE GROUP ON INTERNA TIVE GROUP ON INTERNA TIVE GROUP ON INTERNA TIVE GROUP ON INTERNA TIVE GROUP ON INTERNA A A A A A TEMENTS OF FUNCTIONAL EXPENSES TEMENTS OF FUNCTIONAL EXPENSES TEMENTS OF FUNCTIONAL EXPENSES TEMENTS OF FUNCTIONAL EXPENSES TEMENTS OF FUNCTIONAL EXPENSES T T T T T A A A A A ST ST ST ST ST CONSUL CONSUL CONSUL CONSUL CONSUL Postage and Delivery Printing Repairs and Maintenance Salaries Supplies Payroll Taxes and Fringe Taxes Payroll Depreciation File Storage and Retrieval Insurance MiscellaneousOffice Rent 125 125 6,313 6,438 Communications Computer Service Conferences Consultants and Temporary Accounting and Auditing TravelTOTAL 32,046 $109,397 $126,984

26 CONSULTATIVE GROUP ON INTERNATIONAL ECONOMIC AND MONETARY AFFAIRS, INC STATEMENTS OF CASH FLOWS

JUNE 30, 2005 2004

CASH FLOWS FROM OPERATING ACTIVITIES

Change in Net Assets ($6,433) $110,509

Adjustments to Reconcile Change in Net Assets to Net Cash Provided by Operating Activities: Depreciation 2,328 1,810 Changes in Assets and Liabilities: Accounts Receivable 8,564 (6,583) Accrued Interest Receivable 1,843 (2,362) Pledges Receivable 27,500 52,500 Inventory 3,657 11,736 Prepaid Expenses and Other Assets 259 (342) Accounts Payable and Accrued Expenses (7,758) 993

NET CASH USED BY OPERATING ACTIVITIES 29,960 168,261

CASH FLOWS FROM INVESTING ACTIVITIES Purchases of Certificates of Deposits (398,000) (290,195) Redemption of Certificates of Deposits 388,195 Purchases of Equipment (4,321)

NET CASH PROVIDED BY INVESTING ACTIVITIES (9,805) (294,516)

INCREASE (DEACREASE) IN CASH AND CASH EQUIVALENTS 20,155 (126,255)

CASH AND CASH EQUIVALENTS BEGINNING OF YEAR 527,373 653,628

CASH AND CASH EQUIVALENTS END OF YEAR $547,528 $527,373

27 CONSULTATIVE GROUP ON INTERNATIONAL ECONOMIC AND MONETARY AFFAIRS, INC STATEMENTS OF CASH FLOWS

JUNE 30, 2004 2003

CASH FLOWS FROM OPERATING ACTIVITIES

Change in Net Assets $110,509 ($73,357)

Adjustments to Reconcile Change in Net Assets to Net Cash Provided by Operating Activities: Depreciation 1,810 1,238 Changes in Assets and Liabilities: Accounts Receivable (6,583) 1,034 Accrued Interest Receivable (2,362) (462) Pledges Receivable 52,500 (26,000) Inventory 11,736 (3,565) Prepaid Expenses and Other Assets (342) (4,204) Accounts Payable and Accrued Expenses 993 12,923

NET CASH USED BY OPERATING EXPENSES 168,261 (94,461)

CASH FLOWS FROM INVESTING ACTIVITIES Purchases of Certificates of Deposits (290,195) (98,000) Redemption of Certificates of Deposits 195,000 Purchases of Equipment (4,321) (2,708)

NET CASH PROVIDED BY INVESTING ACTIVITIES (294,516) 94,292

INCREASE (DEACREASE) IN CASH AND CASH EQUIVALENTS (126,255) (169)

CASH AND CASH EQUIVALENTS BEGINNING OF YEAR 653,628 653,797

CASH AND CASH EQUIVALENTS END OF YEAR $527,373 $653,628

28 CONSULTATIVE GROUP ON INTERNATIONAL ECONOMIC AND MONETARY AFFAIRS, INC.

NOTES TO FINANCIAL STATEMENTS June 30, 2004 AND 2005

NOTE 1 – NATURE OF ACTIVITES AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Activities: The Consultative Group on International Economic and Monetary Affairs, Inc., also known as Group of Thirty (the Group), was established in 1978 as a group of thirty private, independent nonpartisan members. The Group aims to deepen the understanding of international economic and financial issues, explore the international repercussions of decisions made in the public and private sectors, and examine the choices available to market practitioners and policy makers. The Group is supported primarily by contributions from private sources: foundations, banks, non-bank corporations, central banks, and individuals. The Group’s major programs consist of meetings and publications.

Basis of Accounting: The financial statements of the Consultative Group on International Economic and Monetary Affairs, Inc. have been prepared on the accrual basis of accounting and accordingly reflect all significant receivables and payables.

Basis of Presentation: Financial statement presentation follows the recommendations of the Financial Accounting Standards Board in its Statement of Financial Accounting Standards (SFAS) No. 117, Financial Statements of Not-for-Profit Organizations. Under SFAS No. 117, the Group is required to report information regarding its financial position and activities according to three classes of net assets; unrestricted net assets, temporarily restricted net assets and permanently restricted net assets.

Expense Allocation: The costs of providing various programs and supporting services have been summarized on a functional basis in the

29 Statement if Functional Expense. Accordingly, certain costs have allocated among the programs and supporting services benefited.

Income Tax Status: The Group is incorporated under the laws of the State of Delaware for Income Taxes charitable, educational, and scientific purposes as defined by Section 501(c)(3) of the Internal Revenue Code. The Corporation is not considered to be a private foundation within the meaning of Section 509(a) of the Internal Revenue Code.

Cash and Cash Equivalents: For purposes of the statement of cash flows, cash and cash equivalents are considered cash on hand and highly liquid investments with a maturity of three months or less when purchased.

Furniture and Equipment: Furniture and equipment are recorded at cost. Depreciation is calculated on the straight-line basis over the estimated useful lives of the asset. All items greater than $500 are capitalized.

Inventory: Inventories consist of published reports held for resale to customers and are stated at cost (determined on a first-in, first-out basis).

Contributions: Unconditional promises to give are recorded at their net realizable value.

Recognition of Restricted Contributions: Support that is restricted is reported as an increase in temporarily restricted net assets. When a restriction expires, temporarily restricted net assets are reclassified to unrestricted net assets. However, if a restriction is fulfilled in the same period in which the contribution is received, the organization reports the support as unrestricted.

Office Rent: The Group operates on a month to month office sub lease.

Estimates: The process of preparing financial statements in conformity with U.S. generally accepted accounting principles requires the use of

30 estimates and assumptions regarding the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues, and expenses. Such estimates primarily relate to unsettled transactions and events as of the date of the financial statements. Accordingly, upon settlement, actual results may differ from estimated amounts.

NOTE 2 – PENSION PLAN The Group maintains a simplified employee pension plan (the Plan) for the benefit of all employees with a minimum term of service of three years within the last 5 years. Contributions to the Plan are allocated to eligible and participating employees on the basis of compensation. For the years ended in June 30, 2005 and 2004, contributions to the Plan totaled approximately $19,930 and $18,680, respectively.

NOTE 3 – CONCENTRATIONS The Group maintains an account brokerage firm. The Securities Investor Protection Corporation insures cash balances in this account up to $100,000. Cash held at the brokerage firm exceeded the $100,000 insurance limit by approximately $41,522 and $378,307 at June 30, 2005 and 2004, respectively.

NOTE 4 - UNCONDITIONAL PROMISES TO GIVE As of June 30, 2005 and 2004 approximately 60% of unconditional promises to give receivable was due from two donors and three donors, respectively.

NOTE 5 – CONCENTRATION OF CREDIT RISK The balance held by the bank at June 30, 2005 is insured by the Federal Deposit Insurance Corporation (FDIC) up to $100,000 per bank. The balance not insured by the FDIC at June 30, 2005 totals $310,782.

NOTE 7 – CERTIFICATE OF DEPOSITS The Group currently holds the following certificates of deposit covered by the FDIC Insurance with one bank: Amount Maturity Date Interest Rate $98,000 September 7, 2005 2.95% 100,000 October 12, 2005 3.00% 100,000 December 14, 2005 2.75% 100,000 December 17, 2008 3.90%

31 32 Annex 1 Past Membership of the Group of Thirty

Members Michiya Matsukawa* Josef Ackermann Jose Antonio Mayobre* Pedro Aspe C.W. McMahon Abdul Aziz AlQuraishi Saburo Okita* Roberto Campos* Suliman Olayan* Max Corden I.G. Patel* Dirk de Bruyne Rupert Pennant-Rea Roderick Carneigie Claude Pierre-Brossolette Andre de Lattre Karl Otto Pohl Jose Martinez de Hoz Jacques Polak Otmar Emminger* Robert Roosa* Janos Fekete Robert Solomon Alan Greenspan Anthony Solomon Armin Gutowski* Herbert Stein* Jawad Hashim Tasuku Takagaki Thomas Johnson Cesar Virata Yoh Kurosawa* Rod Wagner* Alexandre Lamfalussy Henry Wallich* Anthony Loehnis Sir Peter Walters Fritz Machlup* Dennis Weatherstone Jacques Maisonrouge Johannes Witteveen Stephen Marris (First Chairman)

Past Executive Directors Robert Pringle (1979 - 1985) David Holland (1986 - 1991) Charles Taylor (1992 - 1995)

* Indicates deceased members.

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Annex 2 Schedule of Meetings and Seminars FY 2004 and 2005

Enhancing Public Confidence in Financial Reporting – a colloquium to identify and examine key issues and potential areas of consensus regarding the relevance and reliability of fair value accounting for financial transactions - hosted by E. Gerald Corrigan at Goldman, Sachs & Co. New York, January 28, 2003

50th Plenary Meeting of the Group of Thirty - hosted by Timothy F. Geithner and the Federal Reserve Bank of New York. New York, December 4-6, 2003

Global Clearing and Settlement Monitoring Committee (Inaugural Meeting) – hosted by Andrew Crockett and J.P. Morgan Chase, NewYork, December 4, 2003

Launch of Enhancing Public Confidence in Financial Reporting – press briefing at Goldman Sachs & Co., hosted by E. Gerald Corrigan, December 11, 2003

Spring 2004 Banking Seminar – hosted by Jean-Claude Trichet and the European Central Bank. (For program see Annex 3). Frankfurt, Germany, April 29, 2004

51st Plenary Meeting of the Group of Thirty – hosted by Jean- Claude Trichet and the European Central Bank, Frankfurt, Germany, April 29–May 1, 2004

Reinsurance and International Financial Markets – a colloquium to identify issues and challenges in the reinsurance industry as new players enter international markets on a substantial scale; hosted by Ernst & Young, October 1, 2004

52nd Plenary Meeting of the Group of Thirty - hosted by Timothy F. Geithner and the Federal Reserve Bank of New York. New York, December 2-4, 2004

35 Roundtable Policy Discussion of Latin America – luncheon with Enrique Garcia, President and CEO of Corporacion Andina de Fomento, Seneca Room, Four Seasons Hotel - Washington; February 22, 2005

2004 International Banking Seminar – hosted by Alan Greenspan and the Federal Reserve Board. (For program see Annex 3). Washington, October 4, 2004

53rd Plenary Meeting of the Group of Thirty – hosted by Leszek Balcerowicz and the National Bank of Poland. Warsaw, Poland, April 28th – May 1, 2005

36 Annex 3 International Banking Seminars

Spring 2004 Banking Seminar European Central Bank Frankfurt, Germany, April 29, 2004

Chairman: Jacob Frenkel Chairman, Group of Thirty

Speakers: Jaime Caruana Governor, Bank of Spain Martin Feldstein President, Nat’l Bureau of Economic Research Eiji Hirano Assistant Governor, Bank of Japan Paul Krugman Woodrow Wilson School, Princeton University Jacques de Larosiere Conseiller, BNP Paribas Tommaso Padoa-Schioppa Member, Executive Board, European Central Bank Werner Seifert CEO, Deutsche Börse AG John Thain CEO, New York Stock Exchange David Tweedie Chairman, Int’l Accounting Standards Board

37 International Banking Seminar 2004 Board of Governors of the Federal Reserve Washington D.C., October 4, 2004 Chairman: Jacob Frenkel Chairman, Group of Thirty

Speakers: Jaime Caruana Governor, Bank de Espana William H. Donaldson Chairman, Securities and Exchange Commission Roger Ferguson Vice Chairman, Federal Reserve, Chairman, FSF Toshihiko Fukui Governor, Bank of Japan Alan Greenspan Chairman, Federal Reserve William J. McDonough Chairman, Public Company Acctg Oversight Board Rodrigo de Rato y Figaredo Managing Director, International Monetary Fund Jean-Claude Trichet President, European Central Bank Paul A. Volcker Chairman of the Trustees, Group of Thirty

38 Annex 4 G30 Study Group on Financial Accounting

Working Group

PRINCIPALS E. Gerald Corrigan Managing Director, Goldman Sachs Douglas Flint Group Finance Director, HSBC Holdings Jim Johnson Partner, Deloitte & Touche Phil Rivett Partner, PricewaterhouseCoopers David Sidwell CFO, Investment Bank, JPMorgan Chase Sarah Smith Chief Accounting Officer, Goldman Sachs John Walsh Executive Director, Group of Thirty

SENIOR ASSOCIATES Giovanna Acquilano Vice President, JPMorgan Chase A. Scott Baret Partner, Deloitte & Touche Andrew Hubacker Senior Manager, Deloitte & Touche * Matthew Schroeder Managing Director, Accounting Policy, Goldman Sachs J. Douglas Summa Director, PricewaterhouseCoopers Shannon Warren Managing Director, AccountingPolicies, JPMorgan Chase

* Andrew Hubacker participated in the project as a representative of Deloitte, but took a position with a new firm prior to the conclusion of the study.

39

Annex 5 G30 Monitoring Committee on Global Clearance and Settlement: A Plan of Action

Global Monitoring Committee

CHAIRMAN Andrew Crockett President JP Morgan Chase International

Regional Co-Chairs EUROPE Tom de Swaan Stephan Schuster Chief Financial Officer Managing Director ABN AMRO Bank Deutsche Bank AG

ASIA-PACIFIC North America Andrew Sheng Frank Bisignano Chairman, Securities and Futures CEO, Global Transaction Services Commission, Hong Kong Citigroup

MEMBERS Jill Considine E. Gerald Corrigan Chairman Managing Director Depository Trust and Clearing Corp. Goldman Sachs & Co.

Robert Diamond Pierre Francotte Chief Exec., Barclays Capital Chief Executive Officer Chm, Barclays Global Investors Euroclear

John Gubert Stephan Haeringer Head, Group Securities Svcs Vice Chairman HSBC Holdings plc UBS AG

Gerald Hassell Jacques-Philippe Marson President President & CEO Bank of New York BNP Paribas Securities Svcs

Alessandro Profumo Angus Richards Chief Executive Officer Deputy Managing Director Unicredito Italiano Australian Stock Exch., Ltd

41 Phil Rivett Thomas A. Russo Partner Vice Chairman PricewaterhouseCoopers Lehman Brothers

Toshitsugu Shimizu Jeffrey Tessler Executive Officer CEO Tokyo Stock Exchange, Inc.Clearstream International.

Hiroshi Toda David Walker Executive VP and COO Chairman Nomura Holdings, Inc. Morgan Stanley International

John Walsh Executive Director Group of Thirty.

OFFICIAL OBSERVERS

Robert Colby Roger Ferguson Deputy Director, Market Regulation Vice Chairman, Board of Securities and Exchange Commission Governors, Fed. Reserve System

Toshikatsu Fukuma Marc Hollanders Member of the Policy Board Head of CPSS Secretariat Bank of Japan Bank for International Settlements

Sheryl Kennedy Andrew Large Deputy Governor Deputy Governor Bank of Canada Bank of England

Tommaso Padoa-Schioppa David Wright Member, Executive Board Director, Internal Markets European Central Bank European Commission

Asia-Pacific Regional Committee

CHAIR: Mr. Andrew Sheng Chairman Securities and Futures Commission, Hong Kong

42 Participating Firms and Organizations

Australian Securities Australian Stock Exchange and Investments Comm. Bank of Japan Central Depository (Pte) Ltd. Hong Kong Exchanges (Singapore) and Clearing, Ltd. HSBC Group Japan Securities Monetary Authority of Singapore Dealers Association

European Monitoring Committee

CHAIRS Tom de Swaan Stephan Schuster Member of the Managing Managing Director Board and CFO Deutsche Bank ABN AMRO Bank

MEMBERS Frank Bisignano Alessandro Profumo Senior EVP, Global Corporate Chief Executive Officer and Inv. Banking UniCredito Italiano SpA Citibank NA

José Barreiro David Weymouth BBVA Chief Information Officer Barclays Bank PLC

Yves Maas Managing Director/Head, Department Operations Credit Suisse Financial Services

OFFICIAL OBSERVERS

Fabrice Demarigny J.P. Marson Secretary General of CESR President and CEO Committee of European BNP Paribas Securities Sec. Regulators Services

43 Daniela Russo David Nicol Head, Securities Settlement Managing Director Policy Division Morgan Stanley European Central Bank

David Wright Dir., Internal Markets Directorate-General European Commission

OTHER CONTRIBUTING ORGANIZATIONS:

European Association of Clearing Houses European Banking Federation European Central Securities Depository Association

North American Monitoring Committee

CHAIR Frank Bisignano CEO, Global Transaction Services Citigroup

MEMBERS Jill Considine E. Gerald Corrigan Chairman Managing Director Depository Trust and Clearing Corp. Goldman Sachs

Edward Neeck Gerry O’Mahoney J.P Morgan Chase Canadian Capital Markets Association

Ray Parodi Thomas A. Russo Managing Dir., Fin. Int. Vice Chairman Securities Services Lehman Brothers Citigroup

OFFICIAL OBSERVERS

Robert Colby Patrick Parkinson Deputy Director, Market Regulation Associate Director Securities and Exchange Commission Federal Reserve Board

44 Sheryl Kennedy Deputy Governor Bank of Canada

INDUSTRY ALTERNATES AND OBSERVERS Bruce Butterill Mary Ann Callahan President, ACSDA Depository Trust and Clearing Corporation

Alan Cooper Gerardo Mejia President Indeval Canadian Depository for Securities Mexico

Christopher McCurdy Giberto Mifano Senior Vice President BOVESPA and CBLC Federal Reserve Bank of New York Brazil

John Panchery Judy Smith Managing Director Managing Director Securities Industry Association Morgan Stanley

Chris Thompson Tom Tierney Pricewaterhouse Coopers Securities Industry Association

Amarilis Sardenberg CBLC (Brazil)

Legal Subcommittee

CHAIR Mr Philipp Paech UNIDROIT

MEMBERS Antony W. Beaves Christophe Bernasconi Bank of England Hague Conference on Private International Law

James Chrispin Luchia Christova PricewaterhouseCoopers Bank for International Settlements

45 Julian Day Werner Frey/Wim Hautekiet ISDA European Office European Securities Forum

Randall D. Guynn Joyce Hansen Davis Polk & Wardwell Federal Reserve Bank of New York

Gerard Hartsink Christian Krohn ABN AMRO Bank Financial Services Authority (UK)

Klaus Löber Antoine Maffei European Central Bank De Pardieu Brocas Maffei

Sharmini Mahendran Jeffrey S. Mooney Morgan Stanley/Global US Securities and Exchange Documentation Steering Committee Commission

Guy Morton Patrick Poncelet Freshfields Bruckhaus Deringer Federation Bancaire Européenne

Sandra Rocks Tomoyuki Shimoda Cleary, Gottlieb, Steen & Hamilton Bank of Japan

Martin Thomas Gianfranco Trovatore European Commission CONSOB(Italy)

John Walsh Merrie Witkin Group of Thirty Depository Trust & Clearing Corporation

46 Annex 6 G30 Study Group on Reinsurance and International Financial Markets

STUDY GROUP Alastair Clark (Co-Chairman) Bank of England Walter Kielholz (Co-Chairman) Credit Suisse

Jacques Aigrain Swiss Re Svein Andresen Financial Stability Forum Geoffrey Bell Geoffrey Bell & Co/G30 Peter Brierley Bank of England Michael Butt Axis Capital Gerd Hausler International Monetary Fund John Heimann Financial Stability Institute/G30 Richard Herring University of Pennsylvania Thomas Hess Swiss Re Torsten Jeworrek Munich Re Patrick Liedtke Geneva Association T. J. Lim NewSmith Capital Clemens Muth Munich Re Ernest Patrikis American International Group John Sinnott Marsh & McLennan Companies Emmanuel Vercoustre AXA Sir David Walker Morgan Stanley International/G30 John Walsh Group of Thirty

OBSERVERS Roger Ferguson Federal Reserve Board Yoshihiro Kawai International Association of Insurance Supervisors

WORKING GROUP ON SYSTEMIC STABILITY Richard Herring (Chairman) University of Pennsylvania Hugo Banziger Deutsche Bank Gerd Hausler International Monetary Fund Thomas Hess Swiss Re Gay Huey Evans (formerly) Financial Services Authority Stephen Lowe Towers Perrin Clemens Muth Munich Re Alan Patterson Citibank Peter Porrino Ernst & Young John Walsh Group of Thirty

47 WORKING GROUP ON SECURITIZATION AND THE CAPITAL MARKETS Phillip Colebatch (Chairman) Swiss Re Luca Albertini Swiss Re Nicholas Blancher International Monetary Fund Rupert Flatscher Munich Re Todd Groome International Monetary Fund Steven Lash Ernst & Young T. J. Lim NewSmith Capital Trevor May NewSmith Capital Dan Ozizmir Swiss Re Jeff Sayers Morgan Stanley Mark Scully Allianz Group

WORKING GROUP ON TRANSPARENCY Svein Andresen (Chairman) Financial Stability Forum Doug French Ernst & Young David Godfrey Swiss Re Patricia Jackson Ernst & Young Clemens Muth Munich Re Kristel Poh Financial Stability Forum Mattia Rattagi UBS Stephen Searby (formerly) Standard & Poor’s Peter Sohre Swiss Re Alan Spence Financial Services Authority/IAIS

WORKING GROUP ON SUPERVISION AND REGULATION John Heimann (Chairman) Financial Stability Institute/G30 Geoffrey Bell Geoffrey Bell & Co/G30 Laline Carvalho Standard & Poor’s Darryl Hendricks (formerly) Federal Reserve Bank of New York Rolf Nebil Swiss Re Ralph Vogelgesang Munich Re Robard Williams Federal Reserve Bank of New York

48 Annex 7 Group of Thirty Publications Since 1990

REPORTS

Sharing the Gains from Trade: Reviving the Doha Study Group Report 2004 Key Issues in Sovereign Debt Restructuring Study Group Report 2002 Reducing the Risks of International Insolvency A Compendium of Work in Progress. 2000 Collapse: The Venezuelan Banking Crisis of ‘94 Ruth de Krivoy. 2000 The Evolving Corporation: Global Imperatives and National Responses Study Group Report. 1999 International Insolvencies in the Financial Sector Study Group Report. 1998 Global Institutions, National Supervision and Systemic Risk Study Group on Supervision and Regulation. 1997 Latin American Capital Flows: Living with Volatility Latin American Capital Flows Study Group. 1994 Defining the Roles of Accountants, Bankers and Regulators in the United States Study Group on Accountants, Bankers and Regulators. 1994 EMU After Maastricht Peter B. Kenen. 1992 Sea Changes in Latin America Pedro Aspe, Andres Bianchi and Domingo Cavallo, with discussion by S.T. Beza and William Rhodes. 1992 The Summit Process and Collective Security: Future Re- sponsibility Sharing The Summit Reform Study Group. 1991 Financing Eastern Europe Richard A. Debs, Harvey Shapiro and Charles Taylor. 1991 The Risks Facing the World Economy The Risks Facing the World Economy Study Group. 1991

49 THE WILLIAM TAYLOR MEMORIAL LECTURES

Implications of Basel II for Emerging Market Countries Stanley Fisher. 2003 Issues in Corporate Governance William J. McDonough. 2003 Post Crisis Asia: The Way Forward Lee Hsien Loong. 2001 Licensing Banks: Still Necessary? Tomasso Padoa-Schioppa. 2000 Banking Supervision and Financial Stability Andrew Crockett. 1998 Global Risk Management Ulrich Cartellieri and Alan Greenspan. 1996 The Financial Disruptions of the 1980s: A Central Banker Looks Back E. Gerald Corrigan. 1993

SPECIAL REPORTS

Enhancing Public Confidence in Financial Reporting Steering & Working Committees on Accounting. 2004 Global Clearing and Settlement: A Plan of Action Steering & Working Committees of Global Clearing & Settlements Study. 2003 Derivatives: Practices and Principles: Follow-up Surveys of Industry Practice Global Derivatives Study Group. 1994 Derivatives: Practices and Principles, Appendix III: Survey of Industry Practice Global Derivatives Study Group. 1994 Derivatives: Practices and Principles, Appendix II: Legal Enforceability: Survey of Nine Jurisdictions Global Derivatives Study Group. 1993 Derivatives: Practices and Principles, Appendix I: Working Papers Global Derivatives Study Group. 1993 Derivatives: Practices and Principles Global Derivatives Study Group. 1993

50 Clearance and Settlement Systems: Status Reports, Autumn 1992 Various Authors. 1992 Clearance and Settlement Systems: Status Reports, Year-End 1990 Various Authors. 1991 Conference on Clearance and Settlement Systems; London, March 1990: Speeches Various Authors. 1990 Clearance and Settlement Systems: Status Reports, Spring 1990 Various Authors. 1990

OCCASIONAL PAPERS

70. The Critical Mission of the European Stability and Growth Pact Jacques de Larosiere 69. Is It Possible to Preserve the European Social Model? Guillermo de la Dehesa 68. External Transparency in Trade Policy Sylvia Ostry 67. American Capitalism and Global Convergence Marina V.N. Whitman 66. Enron et al: Market Forces in Disarray Jaime Caruana, Andrew Crockett, Douglas Flint, Trevor Harris, Tom Jones. 2002 65. Venture Capital in the United States and Europe Guillermo de la Dehesa 64. Explaining the Euro to a Washington Audience Tomasso Padoa-Schioppa. 2001 63. Exchange Rate Regimes: Some Lessons from Postwar Europe Charles Wyplosz. 2000 62. Decisionmaking for European Economic and Monetary Union Erik Hoffmeyer. 2000 61. Charting a Course for the Multilateral Trading System: The Seattle Ministerial Meeting and Beyond Ernest Preeg. 1999

51 60. Exchange Rate Arrangements for the Emerging Market Economies Felipe Larraín and Andrés Velasco. 1999 59. G3 Exchange Rate Relationships: A Recap of the Record and a Review of Proposals for Change Richard Clarida. 1999 58. Real Estate Booms and Banking Busts: An International Perspective Richard Herring and Susan Wachter. 1999 57. The Future of Global Financial Regulation Sir Andrew Large. 1998 56. Reinforcing the WTO Sylvia Ostry. 1998 55. Japan: The Road to Recovery Akio Mikuni. 1998 54. Financial Services in the Uruguay Round and the WTO Sydney J. Key. 1997 53. A New Regime for Foreign Direct Investment Sylvia Ostry. 1997 52. Derivatives and Monetary Policy Gerd Hausler. 1996 51. The Reform of Wholesale Payment Systems and Impact on Financial Markets David Folkerts-Landau, Peter Garber, and Dirk Schoenmaker. 1996 50. EMU Prospects Guillermo de la Dehesa and Peter B. Kenen. 1995 49. New Dimensions of Market Access Sylvia Ostry. 1995 48. Thirty Years in Central Banking Erik Hoffmeyer. 1994 47. Capital, Asset Risk and Bank Failure Linda M. Hooks. 1994 46. In Search of a Level Playing Field: The Implementation of the Basle Capital Accord in Japan and the United States Hal S. Scott and Shinsaku Iwahara. 1994 45. The Impact of Trade on OECD Labor Markets Robert Z. Lawrence. 1994 44. Global Derivatives: Public Sector Responses James A. Leach, William J. McDonough, David W. Mullins, Brian Quinn. 1993

52 43. The Ten Commandments of Systemic Reform Vaclav Klaus. 1993 42. Tripolarism: Regional and Global Economic Cooperation Tommaso PadoaûSchioppa. 1993 41. The Threat of Managed Trade to Transforming Econo- mies Sylvia Ostry. 1993 40. The New Trade Agenda Geza Feketekuty. 1992 39. EMU and the Regions Guillermo de la Dehesa and Paul Krugman. 1992 38. Why Now? Change and Turmoil in U.S. Banking Lawrence J. White. 1992 37. Are Foreign-owned Subsidiaries Good for the United States? Raymond Vernon. 1992 36. The Economic Transformation of East Germany: Some Preliminary Lessons Gerhard Fels and Claus Schnabel. 1991 35. International Trade in Banking Services: A Conceptual Framework Sydney J. Key and Hal S. Scott. 1991 34. Privatization in Eastern and Central Europe Guillermo de la Dehesa. 1991 33. Foreign Direct Investment: The Neglected Twin of Trade DeAnne Julius. 1991 32. Interdependence of Capital Markets and Policy Implica- tions Stephen H. Axilrod. 1990 31. Two Views of German Reunification Hans Tietmeyer and Wilfried Guth. 1990 30. Europe in the Nineties: Problems and Aspirations Wilfried Guth. 1990 29. Implications of Increasing Corporate Indebtedness for Monetary Policy Benjamin M. Friedman. 1990 28. Financial and Monetary Integration in Europe: 1990, 1992 and Beyond Tommaso Padoa-Schioppa. 1990

53 54 Annex 8 Contributors to the Group of Thirty

The Group of Thirty wishes to express its appreciation to the following institutions and individuals for the donations they generously made to support the Group’s general program during the 2004 and 2005 financial years.

ABN AMRO Holding NV American International Group Austrian National Bank Banca d’Italia Banca Nazionale del Lavoro Banco de Mexico Banco Mercantil Banco Santander, S.A. Bank Leumi le Israel BM Bank of East Asia Ltd. Bank of Nova Scotia Barclays Bank plc BNP Paribas Brown Brothers Harriman & Co. Central Bank of Malta Citicorp Corrigan Family Foundation Credit Commercial de France Credit Lyonnais Credit Suisse Crown Agents Danmarks National Bank Debs Foundation Den Danske Bank A/S Deutsche Bank AG Deutsche Börse AG Euroclear Euronext Fidelity Investments Goldman Sachs and Co. Henry Kaufman & Company

55 HSBC Holdings Plc. Industrial Bank of Japan ING Group Jonathan Francis JPMorgan Chase Mellon Bank Corporation Merrill Lynch Monetary Authority of Singapore Morgan Stanley & Co., Int’l National Bank of Poland Norges Bank Reserve Bank of Australia Reuters Holdings Plc. Saudi Arabian Monetary Authority Schroders plc Skandinaviska Enskilda Banken Societe Generale Soros Fund Management Standard & Poors State Street Bank and Trust Company Sveriges Riksbank Swedbank Swiss Re UBS UniCredito Italiano Whitehead Foundation Zurich Group

The Group of Thirty also wishes to thank the following institutions for their valuable assistance in the provision of accommodation, facilities for meetings, and other services during 2004 and 2005.

Bank of Poland Board of Governors of the Federal Reserve System European Central Bank Federal Reserve Bank of New York Morgan Stanley

56 Group of Thirty Annual Report 2004-2005

GROUP OF THIRTY 1726 M Street, N.W., Suite 200 Washington DC 20036