Definition of crawling peg in English:

crawling peg


  • A point on a scale of exchange rates in which a currency's value is allowed to go up or down frequently by small amounts within overall limits.

    as modifier ‘the ERM was a crawling-peg system’
    • ‘This raises the question: are permanently fixed exchange rates within the euro zone preferable to a crawling peg system or managed float or to the more freely floating system in which the pound sterling operates, for example?’
    • ‘For elite classes, the middle class, and workers and peasants, the crawling peg provided critical economic benefits.’
    • ‘The experience is that, sooner or later, a fixed currency or crawling peg arrangement leads to very large losses by the State as speculators pick off that currency.’
    • ‘The long term goal is a crawling peg, delivering some appreciation against the dollar, but this goal will be realized over 20 years or so.’
    • ‘The administration of the compensated dollar is similar to the operation of a crawling peg in foreign exchange markets.’