On October 3, 1998, the Finance Ministers and Central Bank Governors of the G7 countries commissioned Dr Hans Tietmeyer, President of the Deutsche Bundesbank, to recommend new structures for enhancing co-operation among the various national and international supervisory bodies and international financial institutions so as to promote stability in the international financial system.

G7 Ministers and Governors reinforced their commitment to reforms to the international financial system and financial stability in a declaration issued on 30 October 1998. He recommended the creation of a Financial Stability Forum.

Dr Tietmeyer presented his report  to G7 Ministers and Governors at the meeting in Bonn on 20 February 1999 and G7 Ministers and Central Bank Governors endorsed the creation of a Financial Stability Forum (FSF) bringing together:

• national authorities responsible for financial stability in significant international financial centres, namely treasuries, central banks, and supervisory agencies;

• sector-specific international groupings of regulators and supervisors engaged in developing standards and codes of good practice;international financial institutions charged with surveillance of domestic and international financial systems and monitoring and fostering implementation of standard;

• committees of central bank experts concerned with market infrastructure and functioning.

The FSF was first convened on 14 April 1999 in Washington. Mr Andrew Crockett, General Manager of the Bank for International Settlements, was appointed Chairman of the FSF in a personal capacity.