Singapore, September 18, 2006 — Members of the Group of Trustees of the Principles for Stable Capital Flows and Fair Debt Restructuring in Emerging Markets held their inaugural meeting today in Singapore. The discussions focused on a review of the Principles and their implementation within the framework of the international financial architecture.

The broad participation of financial leaders from both the public and the private sectors in the Group of Trustees reflects growing recognition today that implementation of the Principles can contribute significantly to the stability of the system of emerging markets' finance, which in turn is crucial for the growth and further development of emerging market economies.

The Principles were agreed upon by a group of sovereign issuers and leaders of private finance in the Fall of 2004, and subsequently welcomed in November 2004 by the Group of 20. They have also been welcomed by the Ministers of Finance and Central Bank Governors of the International Monetary and Financial Committee (IMFC) of the Board of Governors of the IMF.

The Trustees today took note of a report on the progress that is being made on implementation of the Principles that has been prepared by the Principles Consultative Group (PCG). The PCG consists of senior officials from a diverse mix of emerging market economies and senior executives from banks and investment firms involved in emerging markets finance. The PCG has been engaged over the last year in both encouraging and monitoring the pragmatic application of the Principles in emerging markets. The PCG's report is now being publicly released. Among its principal findings are that the Principles are becoming an important framework for cooperative actions by debtors and creditors, and that a major strength is their reliance on best practice standards for both sovereigns and investors.

President Jean-Claude Trichet said, "The Trustees warmly welcomed the PCG's report and noted with interest its conclusions. The progress that is reflected in implementation across all regions of emerging markets is indeed impressive. We applaud the commitment of the PCG members to this innovative process of cooperation between the investors and issuers of sovereign debt. We are especially pleased by the growing support for this voluntary code of conduct by key issuers and investors and we encourage them to embrace the Principles fully in order to integrate them into the fabric of emerging markets finance."

The PCG report underscored the progress being made by an increasing number of countries in developing programs of investor relations and in strengthening data transparency. Governor Henrique de Campos Meirelles stated, "We welcome the priority being placed on improved transparency and investor relations and we would encourage authorities to move as quickly as possible toward global standards in both of these areas and for investors to reinforce these practices."

Mr. Toyoo Gyohten said, "The Trustees are of the view that the Principles are an important addition to the framework of global finance. They can be especially valuable at this time of transition in the global economy, when sound policies and prudent investment decisions based on good data and strong communications will be key to weathering potentially more challenging market conditions."

The Trustees noted that the PCG has found in its initial deliberations that both sovereign issuers and financial market investors view the Principles increasingly as a framework for effective communications on economic performance. This can assist authorities in their efforts to sustain deeper market access.

The Group of Trustees encourages all parties involved in emerging markets finance to build on the momentum that has been established to further advance implementation of the Principles and thereby contribute to the stabilty and robustness of the system.

Group of Trustees for the Principles

Co-Chairmen

Mr. Jean-Claude Trichet
President
European Central Bank

Mr. Toyoo Gyohten
President
Institute for International Monetary Affairs
former Vice Minister of Finance, Japan and former Chairman, Bank of Tokyo

Members

Mr. Tom de Swaan, Senior Advisor to the Managing Board, ABN AMRO Bank N.V.
Dr. Jacob A. Frenkel, Vice Chairman, American International Group, and Chairman, Group of Thirty
Mr. Francisco González Rodriguez, Chairman and CEO, BBVA
Mr. Jacques de Larosière, Advisor to the Chairman, BNP Paribas
Mr. Vittorio Corbo Lioi, Governor, Central Bank of Chile
Mr. William Rhodes, Chairman, President, and Chief Executive Officer, Citibank, NA, Senior Vice Chairman, Citigroup Inc., Citigroup/Citibank
Mr. Klaus-Peter Mueller, Chairman of the Board of Managing Directors, Commerzbank AG
Mr. Nicholas Brady, Chairman, Darby Overseas Investments, Ltd. and former US Secretary of the Treasury
Mr. Caio Koch-Weser, Vice Chairman, Deutsche Bank AG
Mr. Arminio Fraga Neto, Chairman, Gavea Investimentos Ltd., and former Governor of the Central Bank of Brazil
Dr. Sri Mulyani Indrawati, Minister of Finance, Indonesia
Mr. Andrew Crockett, President, J.P. Morgan Chase International
Dr. Francisco Gil Díaz, Minister of Finance and Public Credit, Mexico
Sir David Walker, Senior Advisor Morgan Stanley International Limited
Mr. Fathallah Oualalou, Minister of Finance and Privatization, Morocco
Mr. Leszek Balcerowicz, President, National Bank of Poland
Dr. Ngozi Okonjo-Iweala, Former Minister of Finance, Nigeria
Dr. ZHOU Xiaochuan, Governor, People's Bank of China
Mr. Pedro Pablo Kuczynski, President and CEO, Westfield Capital, and former President of the Council of Ministers, Peru
Mr. Montek Singh Ahluwalia, Deputy Chairman, Planning Commission, India
Sheikh Hamad Al-Sayari, Governor, Saudi Arabian Monetary Agency
Mr. Trevor A. Manuel, Minister of Finance, South Africa
Mr. Richard Waugh, President and CEO, The Bank of Nova Scotia
Mr. Herbert M. Allison, Chairman, President and CEO TIAA Cref
Mr. Ali Babacan, Minister of State in Charge of Economy, and Chief Negotiator of Turkey for European Union Affairs, Turkey
Mr. Paul A. Volcker, Former Chairman of the Board of Governors, U.S. Federal Reserve System
Dr. Josef Ackermann (ex-officio), Chairman of the Board of Directors Institute of International Finance