The actions range from pass through of the price increase of strategic products like wheat and oil products and Government’s belt tightening through reduction in recurrent expenditures and postponement of non-priority development expenditures.
The yield on ten-year US securities fell from 6.4 per cent in 1996 to 5.8 per cent at the end of 1997. The European financial system also received much larger portfolio investment inflows in 1996 and 1997 than in the preceding years. More than $ billion flowed into Germany in 1996, compared with $ billion in 1995 and $ billion in 1994.