Chapter

Reports of the Joint Procedures Committee

Author(s):
International Monetary Fund. Secretary's Department
Published Date:
October 1966
Share
  • ShareShare
Show Summary Details
ChairmanIran
Vice ChairmenArgentina
Denmark
Reporting MemberTunisia

Other Members: Brazil, France, Germany, India, Ireland, Israel, Jamaica, Japan, Mali, Netherlands, Nigeria, Portugal, Somalia, Togo, United Kingdom, United States, Uruguay

Report I 1

September 29, 1966

Mr. Chairman:

At the meeting of the Joint Procedures Committee held on September 29, 1966, the items of business on the agenda [Annex I] of the Board of Governors of the International Monetary Fund were considered.

The Committee submits the following report and recommendations.

1. Annual Report

The Committee noted that provision had been made for the annual discussion of the business of the Fund.

2. Financial Statements, Report on Audit, and Administrative Budget

The Committee considered the Report on Audit for the Fiscal Year ended April 30, 1966, the Financial Statements contained therein (Fund Document No. 4 and Appendix V of the 1966 Annual Report), and the Administrative Budget for the Fiscal Year ending April 30, 1967 (Appendix III of the Annual Report and Fund Document No. 6).

The Committee recommends to the Board of Governors the adoption of the draft resolution set forth in Fund Document No. 5.2

3. General Reserve

The Committee also considered the recommendation of the Executive Directors with respect to the allocation to the General Reserve of the Fund’s net income for the Fiscal Year ended April 30, 1966 [Annex II].

The Committee recommends that the Board of Governors adopt the draft resolution contained in Fund Document No. 7.3

4. Rules and Regulations

The Committee reviewed the amendments of Rules 1-2 and 1-4(f)(2) of the Rules and Regulations as submitted by the Executive Directors [Annex III] and recommends adoption by the Board of Governors of the draft resolution set forth in Fund Document No. 8.4

5. Membership—Indonesia

The Committee considered the recommendation of the Executive Directors regarding the readmission of Indonesia to membership in the Fund [Annex IV].

The Committee recommends that the Board of Governors adopt the draft resolution set forth in Fund Document No. 9.5

6. Election of Executive Directors

The Committee noted that the 1966 Regular Election of Executive Directors [Annex V] had taken place and that the next Regular Election of Executive Directors will take place at the Annual Meeting of the Board of Governors in 1968.

Approved:

/s/ J. Amouzegar

Chairman—Iran

/s/ H. Nouira

Reporting Member—Tunisia

Annex I to Report I Agenda

  • 1966 Annual Report

  • Financial Statements and Audit Report (Appendix V of 1966 Annual Report and Fund Documents Nos. 4 and 5)

  • Administrative Budget for Fiscal Year Ending April 30, 1967 (Appendix III of 1966 Annual Report and Fund Documents Nos. 5 and 6)

  • General Reserve (Fund Document No. 7)

  • Changes in the Rules and Regulations (Fund Document No. 8)

  • Election of Executive Directors (Fund Document No. 10)

  • Membership—Indonesia (Fund Document No. 9)

  • Place and Date of 1968 Annual Meeting

  • Election of Officers and Joint Procedures Committee for 1966-67

Annex II to Report I

September 26, 1966

Dear Mr. Chairman:

For the fiscal year ended April 30, 1966, the Fund had net income of $44,545,481.82. Under the Articles of Agreement it must be determined annually what part of the Fund’s income shall be placed to reserve and what part, if any, shall be distributed.

At the Twentieth Annual Meeting, the Board of Governors approved the allocation to the General Reserve of the net income for the fiscal year ended April 30, 1965 (Resolution No. 20-16).

Pursuant to the decision taken by the Executive Board on April 14, 1958, the net income of the Fund subsequent to April 30, 1965 has been transferred provisionally at the end of each month to the General Reserve. The total amount thus transferred for the fiscal year ended April 30, 1966 is $44,545,481.82.

The Executive Directors recommend that the Board of Governors adopt the attached draft resolution 6 approving this allocation to the General Reserve.

Very truly yours,

/s/

Pierre-Paul Schweitzer

Managing Director

and

Chairman of the Executive Board

Chairman of the Board of Governors

1966 Annual Meeting

International Monetary Fund

Annex III to Report I

September 26, 1966

Dear Mr. Chairman:

In accordance with Section 16 of the By-Laws, the attached amendments of the Rules and Regulations are submitted for review by the Board of Governors.

On April 22, 1966, Rules 1-2 and I-4(f)(2) were amended to extend beyond April 30, 1966 the then prevailing service charge on transactions and charges on the Fund’s holdings of members’ currencies in excess of quotas. At that time, it was further decided that the schedule of Fund charges shall be reviewed by the Executive Directors prior to May 1, 1967, and annually thereafter.

These Rules as last amended are set forth in Attachment 1. A proposed Resolution for consideration by the Board of Governors is attached.7

The Executive Directors have made no other changes in the Rules and Regulations since the last Annual Meeting.

Very truly yours,

/s/

Pierre-Paul Schweitzer

Managing Director

and

Chairman of the Executive Board

Chairman of the Board of Governors

1966 Annual Meeting

International Monetary Fund

Attachment 1. Amendments of the Rules and Regulations Since the 1965 Annual Meeting

Rule I-2. Text as amended on April 22, 1966:

The service charge payable by a member buying the currency of another member in exchange for its own currency shall be paid at the time the transaction is consummated. The service charge payable for such transactions taking place after November 30, 1951 shall be ½ of 1 per cent.

Rule I-4(f) (2). Text as amended on April 22, 1966:

(2) With respect to each segment of the holdings of a member’s currency to the extent that it represents the acquisition of that currency by the Fund after April 30, 1963:

  • (i) The charge to be levied on each segment to the extent that it is within the first bracket of 50 per cent in excess of the quota shall be nil for the first three months, 2 per cent per annum for the next fifteen months, and an additional ½ per cent per annum for each subsequent six months.

  • (ii) The charge to be levied on each segment to the extent that it is within the second bracket of more than 50 per cent and not more than 100 per cent in excess of the quota shall be nil for the first three months, 2 per cent per annum for the next nine months, and an additional ½ per cent per annum for each subsequent six months.

  • (iii) The charge to be levied on each segment to the extent that it is within the third bracket of more than 100 per cent in excess of the quota shall be nil for the first three months, 2 per cent per annum for the next three months, and an additional ½ per cent per annum for each subsequent six months.

Annex IV to Report I

September 26, 1966

Dear Mr. Chairman:

I am transmitting herewith on behalf of the Executive Board a proposed Resolution,8 which is recommended for adoption by the Board of Governors, on the readmission of Indonesia to membership in the Fund.

Very truly yours,

/s/

Pierre-Paul Schweitzer

Managing Director

and

Chairman of the Executive Board

Chairman of the Board of Governors

1966 Annual Meeting

International Monetary Fund

Annex V to Report I

Rules for the Conduct of the 1966 Regular Election of Executive Directors of the Fund

  • 1. Definitions: In these Rules, unless the context shall otherwise require:

    • (a) “Articles” means the Articles of Agreement of the Fund.

    • (b) “Board” means the Board of Governors of the Fund.

    • (c) “Chairman” means the Chairman of the Board or a Vice Chairman acting as Chairman.

    • (d) “Governor” includes the Alternate Governor or any temporary Alternate Governor when acting for the Governor.

    • (e) “Secretary” means the Secretary or any acting Secretary of the Fund.

    • (f) “Election” means the 1966 Regular Election of Executive Directors.

  • 2. Date of Election: The election shall be held during the 1966 Annual Meeting at a time to be fixed by the Board.

  • 3. Basic Rules—Schedule C: Subject to the adjustments set forth herein, the provisions of Schedule C of the Articles shall apply to the conduct of the election.

  • 4. Executive Directors to Be Elected Under Article XII, Section 3(b) (iii):

    • (a) Twelve Executive Directors shall be elected under Article XII, Section 3(b) (iii).

    • (b) In view of the number of Executive Directors to be elected under Article XII, Section 3(b) (iii):

      • (i) 6 per cent shall be substituted for “nineteen per cent” in paragraphs 2 and 5 of Schedule C.

      • (ii) 13 per cent shall be substituted for “twenty per cent” in paragraphs 3, 4, and 5 of Schedule C.

  • 5. Executive Directors to Be Elected Under Article XII, Section 3(b)(iv): Three Executive Directors shall be elected under Article XII, Section 3 (b) (iv): and

    • (a) The minimum percentage of the eligible votes required for election under this subparagraph shall be 28 per cent.

    • (b) The maximum percentage of eligible votes for any one nominee for the purposes of paragraph 13 below shall be 38 per cent.

  • 6. Nominations:

    • (a) Any person nominated by one or more Governors entitled to vote in the election shall be eligible for election as Executive Director.

    • (b) Each nomination shall be made on a Nomination Form furnished by the Secretary, signed by the Governor or Governors making the nomination and deposited with the Secretary.

    • (c) A Governor may nominate only one person.

    • (d) Nominations may be made until 12 o’clock noon on the day before the day on which the election is scheduled to be held. The Secretary shall post and distribute a list of the persons nominated.

  • 7. Supervision of the Election: The Chairman shall appoint such tellers and other assistants and take such other action as he deems necessary for the conduct of the election.

  • 8. Ballots: One ballot form shall be furnished, before a ballot is taken, to each Governor entitled to vote. On any particular ballot only ballot forms distributed for that ballot shall be counted.

  • 9. Balloting—Order: The first ballot shall be simultaneous balloting of all the Governors entitled to participate in the election of Executive Directors under Article XII, Section 3(b) (iii), and all of the American Republics entitled to participate in the election of Executive Directors under Article XII, Section 3(b) (iv). The balloting for the Executive Directors elected under Article XII, Section 3(b)(iii), shall then be concluded before any further ballots are taken for the Executive Directors to be elected by the American Republics.

  • 10. Balloting—General: Each ballot shall be taken as follows:

    • (a) Members whose Governors are entitled to vote shall be called in alphabetical order and each ballot, signed by the Governor, shall be deposited in the ballot box.

    • (b) When a ballot shall have been completed, the Chairman shall cause the ballots to be counted and shall announce the names of the persons elected before the end of the session at which the election is held. If a succeeding ballot is necessary, the Chairman shall announce the names of the nominees to be voted on and the members whose Governors are entitled to vote.

    • (c) If the tellers shall be of the opinion that any particular ballot form is not properly executed, they shall, if possible, afford the Governor concerned an opportunity to correct it before tallying the results; and such ballot form, if so corrected, shall be deemed valid.

  • 11. Balloting and Election of Executive Directors Under Article XII, Section 3(b) (iii):

    • (a) When on any ballot the number of nominees shall not exceed the number of Executive Directors to be elected, each nominee shall be deemed to be elected by the number of votes received by him on such ballot; provided, however, that if on such ballot the votes of any Governor shall be deemed under paragraph 4 of Schedule C to have raised the votes cast for any nominee above 13 per cent of the eligible votes, no nominee shall be deemed to have been elected who shall not have received on such ballot a minimum of 6 per cent of the eligible votes and a succeeding ballot shall be taken for which any nominee not elected shall be eligible.

    • (b) If, as a result of the first ballot, the number of Executive Directors to be elected in accordance with paragraph 4 above shall not have been elected, a second and, if necessary, further ballots shall be taken. The Governors entitled to vote on such succeeding ballots shall be only (i) those Governors who voted on the preceding ballot for any nominee not elected, and (ii) those Governors whose votes for a nominee elected on the preceding ballot are deemed under paragraph 4 of Schedule C to have raised the votes cast for such nominee above 13 per cent of the eligible votes.

    • (c) The votes of a Governor shall not be deemed under paragraph 4 of Schedule C to have raised the total votes for a nominee above 13 per cent of the eligible votes if without the votes of such Governor such total would be more than 6 per cent but not more than 13 per cent of the eligible votes.

    • (d) If on any ballot two or more Governors having an equal number of votes shall have voted for the same nominee and the votes of one or more, but not all, of such Governors could be deemed under paragraph 4 of Schedule C to have raised the total votes received by such nominee above 13 per cent of the eligible votes, the Chairman shall determine by lot the Governor or Governors, as the case may be, who shall be entitled to vote on the next ballot.

    • (e) If a Governor shall abstain from voting on any ballot taken under Article XII, Section 3(b) (iii), he shall not be entitled to vote on any subsequent ballot and his votes shall not be counted within the meaning of Article XII, Section 3(i), toward the election of any Executive Director. If at the time of any ballot a member shall not have a duly appointed Governor, such member shall be deemed to have abstained from voting on that ballot.

  • 12. Election of Executive Directors Under Article XII, Section 3(b)(iv): These Rules supplement paragraph 7 of Schedule C.

    • (a) Each Governor eligible to participate in the election shall cast for one person all the votes to which he is entitled.

    • (b) The three nominees receiving the greatest number of votes shall be elected, provided that no nominee shall be elected who receives less than 28 per cent of the eligible votes. The person elected with the least number of votes cast for the three elected nominees shall be deemed to have been elected by all the votes cast for him, all the votes not cast in the ballot through abstention from voting and all those cast for such other nominee or nominees as were not elected.

    • (c) When on any ballot two or more Executive Directors remain to be elected and there are the same number of nominees, each nominee shall be elected by the number of votes received by him; provided, that if the votes of any Governor shall be deemed to have raised the votes cast for any nominee above 38 per cent of the eligible votes, no nominee shall be elected on that ballot who shall not have received 28 per cent of the eligible votes and a succeeding ballot shall be taken for which any nominee not elected on the preceding ballot shall be eligible.

  • 13. Succeeding Ballots for Election of Executive Directors Under Article XII, Section 3(b) (iv):

    • (a) If, as a result of the first ballot, the number of Executive Directors to be elected in accordance with paragraph 5 above shall not have been elected, a second and, if necessary, further ballots shall be taken. The Governors entitled to vote on such succeeding ballots shall be only (i) those Governors who voted on the preceding ballot for any nominee not elected or who abstained from voting on the preceding ballot and (ii) those Governors whose votes for a nominee elected on the preceding ballot are deemed to have raised the votes cast for such nominee above 38 per cent of the eligible votes. In determining whether the votes cast by a Governor are to be deemed to have raised the total of any nominee above 38 per cent of the eligible votes, the 38 per cent shall be deemed to include, first, the votes of the Governor casting the largest number of votes for such nominee, then the votes of the Governor casting the next largest number of votes and so on until 38 per cent is reached.

    • (b) The votes of a Governor under subparagraph (a) above shall not be deemed to have raised the total votes for a nominee above 38 per cent of the eligible votes if without the votes of such Governor such total would be more than 28 per cent but not more than 38 per cent of the eligible votes.

    • (c) If on any ballot two or more Governors having an equal number of votes shall have voted for the same nominee and the votes of one or more, but not all of such Governors, could be deemed under subparagraph (a) above to have raised the total votes received by such nominee above 38 per cent of the eligible votes, the Chairman shall determine by lot the Governor or Governors, as the case may be, who shall be entitled to vote on the next ballot.

  • 14. Elimination of Nominees: If on any ballot two or more nominees shall receive the lowest number of votes, no nominee shall be dropped from the next succeeding ballot, but if the same situation is repeated on such succeeding ballot, the Chairman shall eliminate by lot one of the nominees from the following ballot.

  • 15. Announcement of Result: After the last ballot the Chairman shall cause to be distributed a statement setting forth the result of the election.

  • 16. Effective Date of Election of Executive Directors: The effective date of election shall be November 1, 1966. Incumbent elected Executive Directors shall serve through the day preceding such date.

  • 17. General: Any question arising in connection with the conduct of the election shall be resolved by the tellers, subject to appeal, at the request of any Governor, to the Chairman and from him to the Board. Whenever possible, any such question shall be put without identifying the members or Governors concerned.

As approved by Board of Governors

Resolution No. 21-7, September 6, 1966

Statement of Results of Elections, September 28, 1966

Candidates Elected Under Article XII, Section 3(b) (iii)
Candidate ElectedMembers Whose Votes Counted Toward ElectionNumber of Votes
Paul L. Faber (Guinea)Burundi400
Guinea440
Kenya570
Liberia450
Malawi362
Mali420
Nigeria750
Sierra Leone400
Sudan820
Tanzania570
Trinidad and Tobago500
Uganda570
Zambia750
7,002
Torben Friis (Denmark)Denmark1,880
Finland1,500
Iceland400
Norway1,750
Sweden2,500
8,030
S. J. Handfield-Jones (Canada)Canada7,650
Guyana400
Ireland1,050
Jamaica550
9,650
Pieter Lieftinck (Netherlands)Cyprus400
Israel1,150
Netherlands5,450
Yugoslavia1,750
8,750
Amon Nikoi (Ghana)Algeria880
Ghana940
Laos325
Libya440
Malaysia1,091
Morocco1,006
Singapore550
Tunisia600
5,832
M. W. O’Donnell (Australia)Australia5,250
New Zealand1,820
South Africa2,250
9,320
Ahmed Zaki Saad (United Arab Republic)Afghanistan540
Ethiopia440
Iran1,500
Iraq1,050
Jordan380
Kuwait750
Lebanon317
Pakistan2,130
Philippines1,000
Saudi Arabia1,150
Somalia400
Syrian Arab Republic630
United Arab Republic1,750
12,037
Sergio Siglienti (Italy)Greece1,250
Italy6,500
Portugal1,000
Spain2,750
11,500
Hideo Suzuki (Japan)Burma550
Ceylon1,030
Japan7,500
Nepal350
Thailand1,200
10,630
Beue Tann (China)China5,750
Korea490
Viet-Nam488
6,728
André van Campenhout (Belgium)Austria2,000
Belgium4,470
Luxembourg408
Turkey1,110
7,988
Antoine W. Yaméogo (Upper Volta)Cameroon408
Central African Republic330
Chad330
Congo (Brazzaville)330
Congo, Dem. Rep. of724
Dahomey330
Gabon330
Ivory Coast408
Malagasy Republic440
Mauritania330
Niger330
Rwanda370
Senegal500
Togo362
Upper330
Volta5,852
Candidates Elected Under Article XII, Section 3 (b) (iv)
Candidate ElectedMembers Whose Votes Counted Toward ElectionNumber of Votes
Alexandre Kafka (Brazil)Brazil3,750
Colombia1,500
Dominican Republic514
Haiti400
Panama362
Peru720
7,246
Adolfo C. Diz (Argentina)Argentina3,750
Bolivia540
Chile1,250
Ecuador500
Paraguay400
Uruguay550
6,990
Jorge González del Valle (Guatemala)Costa Rica500
El Salvador500
Guatemala500
Honduras440
Mexico2,950
Nicaragua440
Venezuela2,750
8,080
/s/ Albert Adomakoh/s/ Khalil Salim
(Ghana)(Jordan)
TellerTeller

Report III1

September 29, 1966

Mr. Chairman:

The Joint Procedures Committee met on September 29 and submits the following report:

  • 1968 Annual Meetings

The Committee recommends that the 1968 Annual Meetings of the Boards of Governors be convened in Washington, D.C.

  • Officers and Joint Procedures Committee

The Committee recommends that the Governors for Norway be elected Chairmen, and that the Governors for Malaysia and Sierra Leone be elected Vice Chairmen, of the Boards of Governors of the Bank and its affiliates and of the Fund to hold office until the close of the next Annual Meetings.

It is further recommended that a Joint Procedures Committee be established to be available after the termination of these Meetings, and until the close of the next Annual Meetings, for consultation at the discretion of the Chairmen normally by correspondence and, if occasion requires, by convening; and that this Committee shall consist of the Governors for the following members: Algeria, Austria, Brazil, Cameroon, Canada, Chile, China, France, Germany, Honduras, India, Kenya, Lebanon, Luxembourg, Malaysia, Norway, Sierra Leone, United Kingdom, and United States.

It is recommended that the Chairmen of the Joint Procedures Committee shall be the Governors for Norway and the Vice Chairmen shall be the Governors for Malaysia and Sierra Leone and that the Governors for Honduras shall serve as Reporting Members.

Approved:

/s/ J. Amouzegar

Chairman—Iran

/s/ H. Nouira

Reporting Member—Tunisia

(Fund)

/s/ A. Ben Salah

Reporting Member—Tunisia

(Bank, IFC, and IDA)

The Report and the Resolutions recommended therein were adopted by the Board of Governors of the Fund, in Joint Session with the Boards of Governors of the Bank, IFC, and IDA, on September 30, 1966.

Resolution No. 21-9; see page 247.

Resolution No. 21-10; see page 247.

Resolution No. 21-11; see page 248.

Resolution No. 21-12; see page 248.

Resolution No. 21-10; see page 247.

Resolution No. 21-11; see page 248.

Resolution No. 21-12; see page 248.

Report II dealt with the business of the Boards of Governors of the Bank, IFC, and IDA. Report III and the recommendations therein were adopted by the Boards of Governors of the Fund and of the Bank, IFC, and IDA, in Joint Session, on September 30, 1966.

    Other Resources Citing This Publication