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Target Zone |
Also found in: Acronyms | 0.01 sec. |
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Target Zone Under a managed float, the ideal range of exchange rates of a currency that a government seeks to maintain. The target zone may encourage a weak currency regime in order to encourage exports or a strong currency to reduce inflationary pressures. The central bank or other relevant body intervenes in the forex market with some frequency in order to keep the exchange rate within the target zone. 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. |
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