Leaning With the Wind

Central bank interventions to support or speed along the current trend in the market exchange value of its nation's currency.

Leaning with the wind policy is exemplified by a central bank selling its own currency (increase in money supply) in order to depreciate its currency during a period where the economy is growing. Such an increase in money supply will depreciate the currency and further stimulate exports.
This site uses cookies.
Learn more here


OK