__________________________________________________________ INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Public Disclosure Authorized INTERNATIONAL DEVELOPMENT ASSOCIATION __________________________________________________________ Public Disclosure Authorized SUMMARY PROCEEDINGS 1967 ANNUAL MEETINGS OF THE BOARDS OF GOVERNORS Public Disclosure Authorized Washington, D.C. Public Disclosure Authorized September 25 - September 29, 1967 Introductory Note THE 1967 ANNUAL MEETING of the Board of Governors of the International Bank for Reconstruction and Development, held I jointly with that of the International Monetary Fund, took place in I Rio de Janeiro, Brazil, on September 25-29, 1967 (inclusive) under the Chairmanship of The Honorable Kare Willoch, Minister of Com- merce and Shipping and Governor for Norway. The Closing Joint Session with the International Monetary Fund on September 29 was held under the Chairmanship of the Honorable Erik Brofoss, Gov- ernor of the Fund for Norway. The Annual Meetings of the Bank's Affiliates, the International Finance Corporation (IFC) and the Inter- national Development Association (IDA), were held in conjunction with the Annual Meeting of the Bank. ~ There are recorded in these Summary Proceedings, in alpha- betical order of member countries, the full or partial texts of state- ments by Governors insofar as these relate to the Bank, IFC and IDA. French and Spanish editions of these Summary Proceedings are available upon request to the Secretary's Department. The texts of statements concerning activities of the International Monetary Fund are published separately by the Fund. M. M. MENDELS Secretary INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT AND AFFILIATES WASHINGTON, D.C. December 30,1967 I ...............--------------------------- ~ I Contents Page Address by the President of Brazil, Arthur da Costa e Silva ................... Opening Address by the Chairman, Kare Willoch, Governor of the Bank, IFC and IDA for Norway. 2 Annual Address by George D. Woods, President of the Bank and its Affiliates. 6 Statements by Governors and Alternate Governors. .. 10 Concluding Remarks by Mr. Woods ..... .. 68 Concluding Remarks by the Chairman, Erik Brofoss, Governor of the Fund for Norway . .. 69 Documents of the Boards of Governors. .. 71 Schedule of Meetings . .. 71 Provisions Relating to the Conduct of the Meetings ..... .. 72 Agendas .......................................................... 73 Joint Procedures Committee . .. 74 Reports of Joint Procedures Committee: Report I ............... .. 74 Report II .......................................................... 75 Report IVl ......................................................... 77 Resolutions Adopted by the Board of Governors of the Bank Between 1966 and 1967 Annual Meetings ........................................... " 77 No. 234 ... Amendments to Agreement with the United Nations Educational, Scientific and Cultural Organization (Unesco) . .. 77 No. 235 ... Membership of The Gambia ............................... " 78 Resolutions Adopted by the Board of Governors of the Bank at the 1967 Annual Meeting ................................................ " 79 No. 236 ... Financial Statements, Auditors' Report and Administrative Budget ... " . .. .. .. .. 79 No. 237 ... Allocation of Net Income ................................. " 79 No. 238 ... Membership of Botswana.................................. 80 No. 239 ... Stabilization of Prices of Primary Products ........ .. 81 No. 240 ... Appreciation ............................................. 81 'Report III relates to business of the Fund. (continued) iii Contents (continued) Page Resolutions Adopted by the Board of Governors of IFC Between 1966 and 1967 Annual Meetings. .. 82 No. 62 ... Membership of Viet-Nam .................................... 82 No. 63 ... Membership of Mauritania. .. 83 Resolutions Adopted by the Board of Governors of IFC at the 1967 Annual Meeting. .. 84 No. 64 ... Financial Statements, Auditors' Report and Administrative Budget ................................. , ........... , . .. 84 No. 65 ... Appreciation .............................................. 84 Resolutions Adopted by the Board of Governors of IDA Between 1966 and 1967 Annual Meetings ............................................ 84 No. 59 ... Amendments to Agreement with the United Nations Educational, Scientific and Cultural Organization (Unesco) ............... 84 No. 60 ... Membership of The Gambia ................................. 84 Resolutions Adopted by the Board of Governors of IDA at the 1967 Annual Meeting. .. 85 No. 61 ... Financial Statements, Auditors' Report and Administrative Budget ...... " ....... " . .. .. .. .. .. .. .. 85 No. 62 ... Appreciation .............................................. 85 Report of the Executive Directors of the Bank and IDA. .. 86 Amendments to Agreement with Unesco . .. 86 Reports of the Executive Directors of the Bank. .. 87 Allocation of Net Income ............. .. 87 Amendments to Loan and Bond Regulations . .. 88 Report of Board of Directors of IFC . .. 88 Rules of Procedure for Meetings of the Board of Directors . .. 88 Report of the Executive Directors of IDA. .. 89 Amendments to Credit Regulations . .. 89 Accredited Members of Delegations at 1967 Annual Meetings. .. 90 Executive Directors and Alternates ........................................ 97 Observers at 1967 Annual Meetings. .. 98 Officers of the Boards of Governors and Joint Procedures Committee for 1967-68 .......................................................... 99 Principal Officers of the Bank and IDA .................................... 100 Officers of IFC ......... .. 101 iv Address by the President of the Republic of Brazil ARTHUR DA COSTA E SILVA AM HERE to welcome on behalf of the through the sincerity and perseverance of markets for manufactured products from I Brazilian people and Government, the its application. less developed countries. distinguished participants of the Annual This, Gentlemen, is a moment of matu­ It is a fact that the effort towards the Meetings of the Boards of Governors of rity for the international community. Our promotion of development is the individual the International Bank for Reconstruction common destiny is inexorably linked to the responsibility of each nation. However, and Development and its Affiliates and the destiny of each one of us. It is well known this internal effort can and must be sup­ Board of Governors of the International that it is the richer nations which trade plemented by a broader availability of re­ Monetary Fund. most among themselves. Nonetheless, sources derived from the more developed Our country considers it a privilege, as their unimpeded trade depends on the countries, to be used in accordance with the seat of your Meetings, to contribute availability of means of payments. Though consistent government programs. It is ex­ to the continuity of the healthy tradition the international monetary system has actly in this area that the experience of established in the last 20 years, that the functioned with great efficiency in the post­ these last few years has not been very men responsible for the economic and war period, there exists today the firm be­ satisfactory. financial problems of so many countries, lief that the moment has come when the The well-known difficulties we face, in which are directly interested in the func­ level of international reserves can no diversifying our exports, require urgently tioning of these institutions, should meet longer be the unforeseen result of the to be removed, so that, besides being raw periodically to examine the progress of vagaries of gold production, or ad hoc material exporters, we will become sup­ the world economy during the second half measures, but must be the object of de­ pliers of manufactures to the world market. of the 20th century. liberate decision, as will be registered at As all of you are aware, the restrictions that the developing countries experience These Meetings - an extension of the this Meeting, 23 years after the first one in building their industrial sector hinder Bretton Woods spirit-reflect the progress was held in Bretton Woods. the speeding up of their economic growth. achieved in the field of communications It is necessary to entrust an interna­ We trust that, in addition to the measures and at the same time evidence the general tional organization with the task of adjust­ to be adopted in this meeting concern­ desire to advance in the still more impor­ ing the level of the means through which ing the problem of international liquidity, tant sphere of the interests of each of the international exchange is to be settled. It others may be studied which will help to nations here represented. These Meetings is even more important to note that this is stimulate the flow of investment capital amplify the possibilities of mutual under­ a decision to be taken, not under the im­ and to open markets for the products standing as opportunities are opened for pact of an emergency, but as the result which the economies of developing coun­ personal discussions among the high of a serene and objective evaluation of tries are in a condition to offer to the in­ authorities on economic matters, whose the conditions which govern our common dustrial nations. In addition to its own points of view may thus mutually influence advance towards the future. efforts, Brazil looks forward to the expan­ each other in the search for solutions of This approach deserves