An international bank that fosters cooperation among central banks and other agencies in pursuit of monetary and financial stability. Originally established to coordinate reparations payments post-WWI, the BIS now plays a key role in facilitating central bank cooperation and setting standards for global banking.
The Exchange Rate Mechanism (ERM) is a system introduced by the European Economic Community in March 1979 to reduce exchange rate variability and achieve monetary stability in Europe in preparation for Economic and Monetary Union and the introduction of a single currency, the euro.
