The exchange arrangement under which a currency is pegged to that of another currency but which is allowed a band of flexibility around a central rate is:
A) A Crawling peg
B) Exchange rate within a crawling band
C) Currency peg within a horizontal band

Question

Quizplus · Accepted Answer

A currency peg within a horizontal band allows a currency to fluctuate within a specified range around a central rate, providing some flexibility while maintaining a peg to another currency.

The Exchange Arrangement Under Which a Currency Is Pegged to That