CONFIDENTIAL
Greater exchange rate stability, based upon closer
convergence of economic policies, is an important part
of this agenda. The task for 1983/4 is to carry
forward the work forshadowed in the Annex on
"Strengthening Economic Cooperation for Growth and
Stability" and by this and other means to make a
success of the London Summit as a major step in the
right direction. A special problem whose solution must
already be overdue is the Japanese trade surplus and
Japan's foreign trading methods. We want the Japanese
to maximise their contribution to the strength of the
West while minimising their disruptive effect upon the
world economy.
11. Last and most urgent of all in this category,
there are the European Community problems which are the
subject of another paper: the European Council in
ms which
Athens is only five months distant.
distant. Here too the task
is to ensure that we make more of the Community's
economic opportunities, while reducing the financial
inequities of the present system.
National Tasks
12. The problems under this heading are legacies from
our imperial past. They are issues which are not
central to our national security and prosperity but in
which the UK has a determining influence and
CONFIDENTIAL