A UNITED NATIONS General Assembly Distr. GENERAL A/RES/52/180 14 January 1998 Fifty-second session Agenda item 95 (a) RESOLUTION ADOPTED BY THE GENERAL ASSEMBLY [on the report of the Second Committee (A/52/626/Add.1)] 52/180. Global financial flows and their impact on the developing countries The General Assembly, Reaffirming its resolutions 51/166 of 16 December 1996, entitled "Global financial integration and strengthening collaboration between the United Nations and the Bretton Woods institutions", and 50/91 of 20 December 1995, entitled "Global financial integration: challenges and opportunities", as well as Economic and Social Council resolution 1996/43 of 26 July 1996 on strengthening collaboration between the United Nations development system and the Bretton Woods institutions, Stressing that, in the context of global financial integration, global financial flows present new challenges and opportunities for the international community and should constitute a very important element of the dialogue between the United Nations system and the Bretton Woods institutions, Expressing its concern that a number of developing countries, in the course of liberalizing their external economic and financial regimes, have become more vulnerable to the volatile fluctuations of private capital flows in international financial markets, and stressing the importance at the national level in the countries concerned of a favourable climate of private financial flows, sound macroeconomic policies and appropriate functioning of markets, Noting that the globalization of financial markets can generate new risks of instability, including interest rate and exchange rate fluctuations, which have the potential to aggravate the volatility of short-term capital flows and to affect adversely the international financial system, requiring all countries to pursue sound economic policies and to recognize the external economic impact of their domestic policies, Mindful that all countries should continue their efforts to promote sustained economic growth and sustainable development, in accordance with relevant General Assembly resolutions and recent United Nations conferences, and that the major industrialized countries, which have significant weight in influencing world economic growth and the international economic environment, have important responsibilities to cooperate with developing countries so as to enhance the efforts of the developing countries to address and alleviate their major problems in the areas of finance, trade and external indebtedness, 98-76135 /...