Usually synonymous with a pegged exchange rate. Although "fixed" seems to imply less likelihood of change, in practice countries seldom if ever achieve a truly fixed rate.
Foreign exchange policy where a central bank maintains an official rate for their currency, often intervening to keep the rate fixed within a limited range.
A system in which currencies have exchange values with fixed parities, or central rate relationships with Special Drawing Rights, gold, the U.S. dollar or other currencies.
the rate of exchange of a currency or currency is set by agreement between governments or by government policy (see also gold standard)
Also referred to as a pegged rate. An exchange rate that has been set by a country's central bank against one or more currencies. Example: from 1993 - 2002 the Argentine Peso was fixed against the U.S. Dollar but floated freely against other currencies.
Fixed means that the exchange rates stay at the same value as set by the government.
a good monetary policy (and fantastic trade policy) except when the target currency is not a stable reference in terms of value
An exchange rate that is pegged to another currency or to a basket of currencies.
System whereby the rate of a country's currency is established at a particular level in relation to other currencies and is not allowed to move from that level, except within very small margins.
A method where a currency's rate of exchange is permanently fixed at a certain level.
The central bank undertakes to ensure that the value of the currency is stable in relation to some other currency or currencies.
An official exchange rate set by monetary authorities for one or more currencies. In practice, even fixed exchange rates fluctuate between definite upper and lower bands, leading to intervention.
Official rate set by monetary authorities. Often the fixed exchange rate permits fluctuation within a band.
A currency regime in which the monetary authorities strive to maintain a stable value for the local currency relative to a foreign currency (usually the currency of that country's main trading partner).
tying the currency value to another country, commodity or basket of currencies
A fixed exchange rate involves the government pegging a price range at which the Bank of Canada will exchange Canadian currency for other currencies.
When the value of a currency is fixed against another major currency, such as US dollar, Euro etc., the exchange rate is said to be fixed or pegged. Fluctuations in the exchange rate around this parity are managed by official intervention and by internal regulations limiting exchange transactions. In most cases, there is a narrow band of 1 or 2%, within which the exchange rate is allowed to fluctuate on either side of the fixed rate. Eg: Malaysian Ringgit, Chinese Yuan and the Saudi Riyal. Also called pegged exchange rate.
The official rate for one or more currencies as set by monetary authorities.
Official rate set by monetary authorities for one or more currencies. In practice, even fixed exchange rates are allowed to fluctuate between definite upper and lower intervention points
Official rate of exchange set by monetary authorities for one or more currencies. In practice, some fixed exchange rates are allowed to fluctuate between defined upper an lower bands.
All euro zone countries have their currency exchange rates fixed against each other and this ensures that the euro has the same monetary value across the euro zone.
A country's decision to tie the value of its currency to another country's currency, gold (or another commodity) , or a basket of currencies . In practice, even fixed exchange rates fluctuate between definite upper and lower bands, leading to intervention.
The exchange rate is fixed by the government, preventing the price mechanism and market forces from functioning.
When the exchange rate of a currency is not allowed to fluctuate against another, i.e. the exchange rate remains constant. Typically, under fixed exchange rate regimes, currencies are allowed to fluctuate within a small margin. Fixed exchange rate regimes require central bank intervention to maintain the fixed rate.
A fixed exchange rate, sometimes (less commonly) called a pegged exchange rate, is a type of exchange rate regime wherein a currency's value is matched to the value of another single currency or to a basket of other currencies, or to another measure of value, such as gold. As the reference value rises and falls, so does the currency pegged to it. A currency that uses a fixed exchange rate is known as a fixed currency.