definitions Louvre Accord

Louvre Accord

An agreement reached in 1987 among the central banks of France, Germany, Japan, US, and UK to stop the decline in the value of the US dollar that they had initiated at the Plaza Accord. Named for the Paris landmark where it was negotiated, this accord called for the G-7 nations to support the falling dollar by pegging exchange rates within a narrow, undisclosed range, while they also moved to bring their economic policies into line.