Exchange Rate Mechanism

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Exchange Rate Mechanism

n
1. (Economics) the mechanism formerly used in the European Monetary System in which participating governments committed themselves to maintain the values of their currencies in relation to the ECU. Abbreviation: ERM
2. (Economics) Also: Exchange Rate Mechanism II the mechanism used to stabilize the currencies of European Union states that have not adopted the euro but wish to maintain the value of their currency in relation to it. Abbreviation: ERM II
Translations

Exchange Rate Mechanism

nmeccanismo dei tassi di cambi
References in periodicals archive ?
After becoming an EU member the countries are expected, albeit not necessarily upon EU accession, to participate in the Exchange Rate Mechanism II (ERM II) (3) for at least two years in order to satisfy the Maastricht exchange-rate criterion for adoption of the euro.
The first step it is yet to take is the exchange rate mechanism II (ERM II), a regime of fixed exchange rates in which all EU countries wishing to adopt the euro as their currency must participate.
This is a red letter date for Slovenia: two years to the day after its entry into the Exchange Rate Mechanism II (ERM II), the Commission has proposed an identical rate to the central rate set on 24 June 2004 on the Slovenian currency's entry into the ERM.
The latter criterion expects the country to participate for at least two years in the Exchange Rate Mechanism II (ERM II), which is a pegged exchange rate system with a horizontal band of +/- 15 percent or, by common agreement, with a narrower fluctuation band.