Which of the following countries has a soft peg currency?
A) China
B) Brazil
C) Japan
D) India

Question

Quizplus · Accepted Answer

China has a soft peg currency system, where the value of its currency (the yuan or renminbi) is fixed to the value of the US dollar within a narrow range. This system is also known as a managed or dirty float, as the central bank intervenes in the foreign exchange market to influence the exchange rate. Brazil, Japan, and India have different exchange rate regimes or currency policies. Brazil has a floating exchange rate, Japan has a flexible inflation targeting regime, and India has a managed floating exchange rate with occasional interventions.

Which of the Following Countries Has a Soft Peg Currency