But full convertibility may take as long as five more years.

It will be a clear step toward full convertibility.

Rather than full convertibility, it provided a fixed price for sales between central banks.

Indeed, it was not until the late 1950s that full convertibility for trade purposes of most European currencies was achieved.

It also guaranteed full convertibility of pesos into U.S. dollars.

But it will take months, perhaps years, before local industry will produce enough exportable goods to allow for full convertibility of the crown.

Last year, Chinese officials often used 2000 as an unofficial target for full convertibility, when anyone can exchange yuan for dollars on demand.

"We will gradually pave the way to full convertibility," Mr. Chen said in an interview.

The introduction of a unified rouble exchange rate, due on July 1 as a preliminary to full convertibility, appeared to have been postponed.

However, owing to an enormous expansion of the current account and the capital account, India is increasingly moving towards de facto full convertibility.

Even under full convertibility, there is likely to be a limit of about $500 a year on private currency exchange, although that will mean a continued black market.

And it is this latter step, full convertibility of the ruble, that is both so important and so perilous.

In a move toward full convertibility of its currency, China plans to loosen some controls on foreign-exchange transactions by companies as of April 1.

Full convertibility with the U.S. dollar became jeopardized upon implementation of exchange rate controls that provided a preferential exchange rate for exports.

"Full Convertibility: A Leap into Dark", Janata, Vol.

Economists interpreting his remarks said it was unlikely that he was talking about full convertibility, which would mean an open economic system with a currency fluctuating in foreign exchange markets.

One of the earliest involved a 20 percent devaluation of the rupee, which has held stable at about 31 to the dollar, coupled with step-by-step progress toward full convertibility.

China's chief central banker said the country had put full convertibility of the country's currency back on the agenda after having suspended such plans during the Asian economic crisis two years ago.

"If Putin is the one to bring the ruble to full convertibility, it's a positive for his legacy," Mr. Timmons of Moscow Narodny Bank said.

When the Bank was established in 1964, Trinidad and Tobago was part of the sterling area which provided for full convertibility of the local currency into sterling.

Mr. Aldonas said the team would discuss the lack of full convertibility of China's currency, but he declined to discuss growing international calls for Beijing to permit its currency to appreciate.

A More Stable Ruble In another positive sign the ruble, which was in free fall, began to stabilize at around 1,000 to the dollar, a necessary precondition to full convertibility against hard currencies.

The changes, intended to modernize China's partly overhauled banking system and attract more foreign capital into China, also effectively speed up the nation's moves toward full convertibility of the yuan, though that milestone is still years away.

On Jan. 24 she announced further proposals which envisaged lifting the state's foreign trade monopoly, full convertibility for the East German Mark by 1992, the lowering of tax rates, and the introduction of a commercial banking system.

But to assume that a country with as many economic problems as the Soviet Union has would be able to move not only to full convertibility but also to a fixed exchange rate linked to gold, assumes an incredible amount of progress.