1970-1979

The BIS Chronology chronicles the main events relevant to the history of the Bank for International Settlements since it was created in 1929-30. Major financial, monetary and world events that are not directly related to the BIS, but that have had an impact on it, are listed in italics.

 

1970    
2 Jan    Central banks of Canada and Japan become BIS members
9 Feb    Agreement on system for short-term monetary support between European Community (EC) central banks signed in Basel
26 Oct    "Werner Report" on the creation of Economic and Monetary Union (EMU) among the EC countries submitted to the EC Council
23 Dec   BIS General Manager Ferras dies in car accident
31 Dec   Reserve Bank of Australia becomes BIS member
     
1971    
 22 Mar    EC Council of Ministers adopts the "Werner Report" on the realisation of EMU
18 Apr    G10 governors meeting in Basel establish Euro-Currency Standing Committee (ECSC)
19 Apr    EEC Committee of Governors announces reduced exchange rate fluctuation margins effective 15 June
1 May    René Larre takes up position as BIS General Manager
5 May   Foreign exchange markets close in Austria, Belgium, Germany, the Netherlands, and Switzerland
9 May   Floating of Deutsche mark and Dutch guilder leads to postponement of reduced exchange rate margins planned for 15 June
23 Jun   Agreement on terms of UK's entry in EEC on 1 January 1973
30 Jun   South African Reserve Bank becomes BIS member
15 Aug   President Nixon suspends gold convertibility of US dollar
18 Dec   Smithsonian Agreement: measures for monetary stability agreed by the G10 countries ("tunnel")
     
1972    
10 Apr   Basel agreement for narrowing fluctuation margins between EC currencies adopted: the "snake" in the "tunnel"
23 Jun   Pound sterling leaves the "snake"
Sep
  First meeting of the IMF-sponsored Committee of Twenty, set up to prepare a blueprint for the reform of the international monetary system
     
1973    
1 Jan   Denmark, Great Britain, and Ireland join the EEC
13 Feb   US dollar devalued by 10%. Italian lira leaves the "snake"
19 Mar   Switch to block floating: "tunnel" disappears, but "snake" remains
6 Apr   Regulation on the establishment of the European Monetary Co-operation Fund comes into force
1 Jun   European Monetary Co-operation Fund (EMCF) becomes operational; BIS assumes functions of Agent
10-17 Oct   OPEC raises oil prices by 70%; start of first "oil shock"
Nov   Central bank agreement to refrain from gold operations on the free market (Washington agreement of March 1968) officially buried
Dec   BIS starts collection and publication of quarterly Euro-currency market statistics (or locational banking statistics), covering twelve European countries plus Canada, Japan, and the US
 
   
 
1974    
17-18 Jan   Committee of Twenty (C20) meeting in Rome: attempt at full-scale reform of the international monetary system abandoned; generalised exchange-rate floating
19 Jan   French franc leaves the "snake"
Jun   Bankhaus Herstatt collapses: it is the biggest bank failure in Germany since 1931
Oct   Franklin National Bank (United States) collapses
Dec   In response to bank failures, the G10 Governors establish the Basel Committee on Banking Regulations and Supervisory Practices
 
   
 
1975    
Feb   First meeting of the Basel Committee on Banking Regulation and Supervisory Practices
8 Mar   Publication of "Marjolin Report" on EMU and on institutional and structural disparities between EC member states
19 Mar   Creation of European Unit of Account
10 Jul   French franc rejoins the "snake" at original parity
22 Sep   Agreement in principle reached between Switzerland and the EC on association of Swiss franc with the "snake" arrangement
15-17 Nov   Economic Summit of G6 at Rambouillet (France) endorses currency floating
20 Nov   Swiss Parliament postpones indefinitely the possible association of the Swiss franc with the "snake" arrangement
Dec   "Basel Concordat" calls on host- and home-country authorities to share supervisory responsibility for banks' foreign activities
 
   
 
1976    
Jan   Alexandre Lamfalussy succeeds Milton Gilbert as BIS Economic Adviser
7-8 Jan   IMF agreement on use of SDRs
Mar-Apr   BIS takes up administration of the first EC borrowing operations
15 Mar   French franc leaves the "snake"
Jun   BIS together with G10 and Switzerland provides a $5.3 billion six-month credit facility to the United Kingdom
29 Sep   Sterling crisis; United Kingdom requests a standby arrangement from IMF
18 Oct   Exchange rate realignment within the "snake". Deutsche mark revalued by 2%
 
   
 
1977    
3 Jan   Two-year standby IMF credit for United Kingdom of SDR 3 360 million
10 Jan   Announcement at BIS of $3 billion sterling balances facility organised by seven central banks (third Sterling Group Arrangement)
4 Apr   Further realignment within the "snake": devaluations of the Swedish, Norwegian and Danish crowns, followed on 5 April by devaluation of the Finnish markka
May   BIS completes move from the former Savoy Hôtel Univers to its new premises in Basel; the "Tower" officially inaugurated
28 Aug   Sweden leaves the "snake", further devaluations of Norwegian and Danish crowns
 
   
 
1978    
Jan   The "BIS Data Bank" of monetary and economic statistical time series becomes operational
13 Feb   Norwegian crown devalued by 8%
16-17 Jun   Jacques de Larosière becomes Managing Director of the IMF
16 Oct   Realignment of the "snake": Deutsche mark revalued by 2% to 4% vis-à-vis other currencies
7 Nov   IMF borrows from Germany and Japan to assist US drawing of SDR 2.2 billion
4-5 Dec   European Council adopts the creation of European Monetary System (EMS), Exchange Rate Mechanism (ERM), and European Currency Unit (ECU)
12 Dec   Norway leaves the "snake" arrangement
 
   
 
1979    
13 Mar   Establishment of the European Monetary System (EMS), absorbing the "snake", and creation of the European Currency Unit (ECU)
28 Jun   OPEC decrees oil price increase by 24%: second "oil shock"
24 Sep   EMS realignment: Deutsche mark revalued by 2% to 5% vis-à-vis other currencies
6 Oct   Fed increases US interest rates, convincing markets it will curb inflation
Nov   Publication of the first BIS Economic Paper ("Credit and liquidity creation in the international banking sector", by Helmut Mayer)
30 Nov   EMS realignment: Danish crown devalued by 4.76%
 
   
 
1960-1969 1980-1989