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crawling peg

   Also found in: Financial, Wikipedia 0.01 sec.
crawling peg
n
(Economics) a method of stabilizing exchange rates, prices, etc., by maintaining a fixed level for a specified period or until the level has persisted at an upper or lower limit for a specified period and then permitting a predetermined incremental rise or fall


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By the same token, the yuan's crawling peg and the consequent rapid build-up of foreign reserves have led to excessive liquidity growth and created serious economic distortions, notably in the asset markets where asset price inflation has been rampant.
To permanently solve the prolonged problem of high inflation and unsustainable growth, Turkey announced an IMF-supported exchange rate based stabilization program in the context of a crawling peg regime to be adopted by the beginning of 2000.
Another option was widening the fluctuation band and following a crawling peg to the US dollar.
 
 
 
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