4 ms·
The pegging is not forced on them. It's their own national bank which buys and sells tons of Euros to keep the exchange rate stable.
by Double_a_92 7y ago
The pegging is not forced on them. It's their own national bank which buys and sells tons of Euros to keep the exchange rate stable.
- vkreso 7y agoExactly, its an autonomous response towards the market. Stability is always preffered in human decision making.
- dragonwriter 7y ago> It's their own national bank which buys and sells tons of Euros to keep the exchange rate stable. The two CFA franc zones have zone central banks (which aren't exclusively controlled by countries in the respective zone, since France has a seat on each), it's not individual national central banks issuing currency or managing the peg.