Printer Friendly
Dictionary, Encyclopedia and Thesaurus - The Free Dictionary
3,897,087,748 visitors served.
forum Join the Word of the Day Mailing List For webmasters
?
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Basket Peg

    0.01 sec.
Basket Peg
The policy of pegging a currency to a portfolio of several currencies with different weightings. For example, a basket peg may consist of 40% euros, 35% U.S. dollars and 25% British pounds; these percentages determine the basket's value. A country usually follows a basket peg to attach its currency to another without overexposing it to the fluctuations of a single currency. For example, Kuwait shifted to a basket peg in 2007 because the U.S. dollar, to which it was attached previously, was weak at the time, resulting in high inflation.


Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.
?Page tools
Printer friendly
Cite / link
Feedback
Add definition
Mentioned in?  References in periodicals archive?   Financial browser?   Full browser?
 
The GCC financial policy makers attach great importance to the two documents where the Fund compares the US dollar peg to a dollar-Euro basket peg as alternative exchange rate regimes for the incipient GCC currency union, " he affirmed, adding that the Fund's World Economic Outlook (WEO) and the Regional Economic Outlook also provide helpful data and analysis annually.
However, since January 5, 2003, the previous weighted currency basket peg was switched to a higher valuation of 0.
A move to a trade-weighted basket peg, Ea la Kuwait, would perhaps better serve the UAE's economy.
 
 
 
Financial Dictionary
?

Terms of Use | Privacy policy | Feedback | Advertise with Us | Copyright © 2012 Farlex, Inc.
Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.