adjustable pegged exchange rate
- A system in which a currency is fixed at a certain level in relation to a strong currency such as the US dollar or the euro. The peg may fluctuate slightly (less than 2%), but ordinarily it is maintained constant by a central bank. However, the rate is "adjustable" in the sense that it may be revalued if necessary to regain competitiveness. In this sense, it is a "semi-fixed" rate.