The current global financial crisis has reopened an old debate on the international monetary system by baring weaknesses and flaws that have long been known. The debate is centred on both stability and equity. International co-operation is necessary to resolve a complex interplay of several interrelated problems. The G 20 seems to be better positioned than the IMF arrive at some international consensus on these issues. However, while there has been some progress, the big issues of moral hazard and inequities deriving from the global reserve currency seem intractable. With the macroeconomic framework under great strain, we may indeed be poised for a leap into the dark going forward. Since solutions seem elusive, even as everybody is agreed that
there is a major problem, discussion and debate are crucial.