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DECLARATION ONTHE CONTRIBUTION OFTHE
WORLD TRADE ORGANIZATION TOACHIEVING GREATER
COHERENCE INGLOBAL ECONOMIC POLICYMAKING
1. Ministers recognize thattheglobalization oftheworld economy hasledtoever-growing
interactionsbetweentheeconomicpoliciespursuedbyindividualcountries,includinginteractionsbetween
thestructural, macroeconomic, trade, financial anddevelopment aspects ofeconomic policymaking.
Thetaskofachieving harmony between these policies fallsprimarily ongovernments atthenational
level, buttheir coherence internationally isanimportant andvaluable element inincreasing the
effectiveness ofthese policies atnational level. TheAgreements reached intheUruguay Round show
thatalltheparticipating governments recognize thecontribution thatliberal trading policies canmake
tothehealthy growth anddevelopment oftheirowneconomies andoftheworld economy asawhole.
2. Successful cooperation ineachareaofeconomic policy contributes toprogress inother areas.
Greater exchange ratestability, based onmore orderly underlying economic andfinancial conditions,
shouldcontributetowardstheexpansionoftrade,sustainablegrowthanddevelopment,andthecorrection
ofexternal imbalances. There isalsoaneedforanadequate andtimely flowofconcessional andnon-
concessional financial andrealinvestment resources todeveloping countries andforfurther efforts
toaddress debtproblems, tohelpensure economic growth anddevelopment. Trade liberalization forms
anincreasingly important component inthesuccess oftheadjustment programmes thatmany countries
areundertaking, ofteninvolving significant transitional social costs. Inthisconnection, Ministers note
theroleoftheWorld Bank andtheIMFinsupporting adjustment totrade liberalization, including
support tonetfood-importing developing countries facing short-term costs arising from agricultural
trade reforms.
3. Thepositive outcome oftheUruguay Round isamajor contribution towards more coherent
andcomplementary international economic policies. Theresults oftheUruguay Round ensure an
expansion ofmarket access tothebenefit ofallcountries, aswellasaframework ofstrengthened
multilateral disciplines fortrade. They alsoguarantee thattrade policy willbeconducted inamore
transparent manner andwithgreater awareness ofthebenefits fordomestic competitiveness ofanopen
trading environment. Thestrengthened multilateral trading system emerging fromtheUruguay Round
hasthecapacity toprovide animproved forum forliberalization, tocontribute tomore effective
surveillance, andtoensure strict observance ofmultilaterally agreed rules anddisciplines. These
improvements mean thattrade policy caninthefuture playamore substantial roleinensuring the
coherence ofglobal economic policymaking.
4. Ministers recognize ,however, thatdifficulties theorigins ofwhich lieoutside thetrade field
cannot beredressed through measures taken inthetradefieldalone. Thisunderscores theimportance
ofefforts toimprove other elements ofglobal economic policymaking tocomplement theeffective
implementation oftheresults achieved intheUruguay Round.
5. Theinterlinkages between thedifferent aspects ofeconomic policy require thattheinternational
institutions withresponsibilities ineachoftheseareasfollow consistent andmutually supportive policies.
TheWorld Trade Organization should therefore pursue anddevelop cooperation withtheinternational
organizations responsible formonetary andfinancial matters, while respecting themandate, the
confidentiality requirements andthenecessary autonomy indecision-making procedures ofeach
institution, andavoiding theimposition ongovernments ofcross-conditionality oradditional conditions.
Ministers further invite theDirector-General oftheWTO toreview withtheManaging Director of
theInternational Monetary Fund andthePresident oftheWorld Bank, theimplications oftheWTO 's
responsibilities foritscooperation withtheBretton Woods institutions, aswellastheforms such
cooperation might take,withaviewtoachieving greater coherence inglobal economic policymaking.