In this type of regime, the value of a currency is allowed to fluctuate based on market forces of supply and demand. The central bank may intervene in the foreign exchange market to limit volatility or adjust the exchange rate if necessary.
In this type of regime, the value of a currency is allowed to fluctuate based on market forces of supply and demand. The central bank may intervene in the foreign exchange market to limit volatility or adjust the exchange rate if necessary.