Naked Intervention

Naked Intervention

A situation in which a central bank makes a major purchase or sale of a currency in order to affect the exchange rate for its own currency. While every central bank does this to some extent, naked interventions may negatively impact other currencies' exchange rates, potentially leading to retaliatory measures. See also: Currency war.
References in periodicals archive ?
But when sovereign states in the Middle East express their views, or announce certain policies, Iran's various responses often take the form of naked intervention in the affairs of other countries.
He said: "The naked intervention of President Clinton's wife in the affair has to be seen as the intervention of ignorance, a voice from the previous regime.