Western bankers are meeting this at the Bank for International Settlements in Basle to discuss the international financial crisis in the light of West Germany's refusal on Friday (8 May) to revalue the Deutschmark upwards.
Bank building; employees enter; pressmen; Dutch, Japanese, British and other representatives enter.
Script is copyright Reuters Limited. All rights reserved
Background: Western bankers are meeting this at the Bank for International Settlements in Basle to discuss the international financial crisis in the light of West Germany's refusal on Friday (8 May) to revalue the Deutschmark upwards. In particular they are discussing ways of drawing off the "hot money", estimated at between 3,000 and 4,000 million dollars (1,250 million- 1,670 million sterling) which flowed into West Germany as speculators gambled on an upward revaluation.
The main problem facing the bankers -- from Western Europe, the United States, Canada and Japan -- is how to control and speed up this outflow while at the same time protecting less robust currencies from excessive pressure.
Herr Karl Blessing, president of the West German Federal Bank, is at the meeting and he is expected to explain to his fellow-bankers what "substitute measures" the West German Government proposes to introduce in place of revaluation to take the heat out of the present situation. So far the West Germans have only announced that such measures are under consideration.
It was thought today (Sunday) that the bankers might break their usual silence and issue some sort of statement at the end of the meeting in order to calm the money markets when -- and if -- they open on Monday.