Back Matter
  • 1 0000000404811396https://isni.org/isni/0000000404811396International Monetary Fund
  • | 2 0000000404811396https://isni.org/isni/0000000404811396International Monetary Fund
  • | 3 0000000404811396https://isni.org/isni/0000000404811396International Monetary Fund

Abstract

This paper is concerned with developments in the European Monetary System (EMS) from its start in March 1979 through December 1982.

Appendix I Statistical Tables

Table 1.

EMS: Periods of Strain1,2

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Source: Fund staff estimates and calculations.

Defined as periods with reports of substantial interference in the exchange market by intervention, capital and exchange controls, or measures of monetary policy motivated by exchange rate developments.

Notation: B—Belgium; BF—Belgian franc; D—Denmark; DKr—Danish krone; F—France; FF—French franc; G—Federal Republic of Germany; DM—deutsche mark; £Ir—Irish pound; I—Italy; Lit—Italian lira; N—Netherlands; f.—Netherlands guilder; U.S.—United States; $—U.S. dollar; CA—current account.

Table 2.

EMS: Bilateral Central Rates1

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Sources: Commission of the European Communities; and Fund staff calculations.

Expressed as the price of 100 units of the currency on top of the column in the currency in front of the row.

Table 3.

EMS Realignments: Percentage Changes in Bilateral Central Rates1

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Sources: Commission of the European Communities; and Fund staff calculations.

Calculated as the percentage change against the group of currencies whose bilateral parities remained unchanged in the realignment, except for the most recent realignment (3/21/83) in which all currencies were realigned—for this the percentages are shown as in the official communique.

Table 4.

EMS: ECU Central Rates1

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Source: Commission of the European Communities.

The change of any central rate expressed in terms of ECUs implies a simultaneous change of all other ECU central rates, since the ECU is made up of a basket of currencies. Positive sign indicates depreciation relative to the ECU.

Table 5.

EMS: Interest Differentials for Three-Month Deposits, 1979–821

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Source: Fund staff calculations.

End of month.

Rates pertain to last Tuesday of the month.

Positive sign indicates differential in favor of Eurodollar investment relative to domestic investment, while negative sign indicates the reverse. Domestic interest rates for France, the Federal Republic of Germany, Italy, and the Netherlands are interbank rates. For Belgium the rate on four month certificates of the Government Securities Stabilization Fund is used.

Covered interest differential is calculated as the uncovered interest differential minus the forward exchange quotation.

Table 6.

EMS: Economic Measures in Connection with Realignments1

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Sources: Commission of the European Communities and Fund staff.

Notation: BF—Belgian franc; DKr—Danish krone; FF—French franc; DM—deutsche mark; £Ir—Irish pound; Lit—Italian lira; Lux F—Luxembourg franc f.—Netherlands guilder.

Table 7.

Variability of Nominal Effective Exchange Rates, 1974–821,2

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Sources: International Monetary Fund, International Financial Statistics; and Fund staff calculations.

Based on the IMF’s multilateral exchange rate model (MERM) and monthly data.

Variability is measured by the coefficient of variation (multiplied by 1,000) of monthly exchange rates.

Unweighted average.

Table 8.

Variability of Nominal Exchange Rates Against EMS Currencies, 1974–821

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Sources: International Monetary Fund, International Financial Statistics; and Fund staff calculations.

Weighted average (MERM weights) of variability of bilateral nominal exchange rate against EMS currencies, with variability measured by coefficient of variation (multiplied by 1,000) of bilateral exchange rates.

Firs t nine months only.

Unweighted average.

Table 9.

Variability of Nominal Exchange Rates Against Non-EMS Currencies, 1974–821

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Sources: International Monetary Fund, International Financial Statistics; and Fund staff calculations.

Weighted average (MERM weights) of variability, measured by coefficient of variation of bilateral nominal exchange rates against the eight non EMS countries listed.

First nine months only.

Unweighted average.

Table 10.

Variability of Bilateral Real Exchange Rates Against EMS Currencies, 1974–821

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Sources: International Monetary Fund, International Financial Statistics; and Fund staff calculations.

Weighted average (MERM weights) of the variability of bilateral real exchange rates (as measured by nominal exchange rates adjusted for relative consumer price movements) against EMS countries, with variability measured by the coefficient of variation (multiplied by 1,000) of the bilateral real exchange rate.

First nine months only.

Unweighted average.

Table 11.

Variability of Bilateral Real Exchange Rates Against Non EMS Currencies, 1974–821

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Sources: International Monetary Fund, International Financial Statistics; and Fund staff calculations.

Weighted average (MERM weights) of variability of bilateral real exchange rates against the above eight non-EMS countries as a group, with variability measured by the coefficient of variation (multiplied by 1,000) of the bilateral real exchange rate.

First nine months only.

Unweighted average.